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Changing to a smaller crank pulley is like changing to a lower gear in your transmission. Less effort is being exserted by the engine to drive the accessories. The torque and horse power that is not being used to drive the accessories can now be used for acceleration.
The down side to this is that your alternator, water pump, power steering pump and A/C compressor are now turning slower in relation to your engine. Depending on how effecient these units are the effect of them turning slower might not be felt by you. If on the other hand any of them are not very effecient, you might find that your battery does not charge well, your A/C doesn't cool, your water temp runs a little higher in the city or your steering feels heavier.
It is a possible trade off but if accelleration is your goal, the pulley swap is probably one of the most non-invasive ways to gain.
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'88 Corolla, AE92 SR-5, 7A-FE swap/GT-S suspension
'87 Corolla, AE82 FX-16, 4A-GZE swap (autocrosser)
'03 Tundra 4X4 Access Cab, (FX tow vehicle/Home Depot runner)

Modification: Changing something to what you thought it should have been from the start!
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