RE: new wire for the ignition control switch wire
The ignition doesn't pull much for current. I'm sure 20ga servo wire would be fine. That is probably what the leads are on the switch/charge jack most people use anyway.
Before you install that engine of unknown history, I'd pull the top and bottom cover off the carb. There is a little filter screen you want to make sure is clean, and the little rubber flappers may have stuck.