As in the automotive genre, shorter pipes, relative to long pipes, do tend to provide the most power/torque overall.
It's actually the amount of
resistance to flow that determines the characteristics of the pipe/muffler combo. Low resistance is good for HP (high RPM and speed), while higher (but correct) resistance is good for torque (low RPM and acceleration). The factors affecting resistance to flow are (1) the cross-sectional area, CSA, of the pipe, (2) length of pipe, and (3) the number and type of turns/baffles in the path. Keep in mind that larger engines and higher RPM mean more exhaust gas that has to get out.
CSA is highly dependent on the radius, since area of a circle = pi x r
2 (r x r). A small change in radius has a large effect on CSA. [Sidenote: remember the crossover exhaust pipe that's slightly flattened on many Harleys? That is a higher resistance, which makes a 2-1-2 exhaust send more of the gas out the right-hand pipe. Think of that flattening as being part way to completely pinched off, thus more resistance to flow. That's why mandrel-bent pipes flow better, and why baffles and bends in the pipe or muffler decrease flow.]
Since the exhaust gas "rubs" against the wall of the pipe as it heads toward the exit, the length of rub (the pipe) also affects resistance, but in a linear way: double the length = double the resistance. Bends in the pipe add resistance b/c the gas runs into the wall and rubs more. So does a rougher interior.
This shows us the simplest formula for amount of resistance (leaving out pi, since that's a constant): R (total resistance) = radius
2 x Length (for a constant diameter). A muffler adds resistance by adding bends, baffles, and length.
Straight pipes, stepped headers and mufflers, and megaphones all reduce restriction by some combo of increasing radius and decreasing bends.
From this info, you can see why your friends adding pipe length made them run poorly. The extra restriction prevented exhaust gas getting out as quickly and easily, keeping their HP and speed much lower.
As hrdtail78 mentioned, it's the higher pressure and temperature that are the driving force sending the gas down the pipe toward the lower pressure and temperature of the atmosphere. As the gas flows along, it cools down and the pressure decreases, decreasing the speed of the exhaust gas. Stepped headers and megaphone mufflers serve to decrease the restriction and keep the gas flowing better.
For your application, using a smaller displacement engine means you can use a smaller diameter pipe--but if you run the Y pipe 2-1, you'll want a larger diameter after the muffler,
however, in the 2-1 the higher restriction of the single vs dual muffler will play a larger part. So remember, too much restriction will reduce top speed, while too little will hurt your take-off. It will probably take some trial and error to get the right balance. Good luck with a fun project.