Hey guys,
Just recently I was having similar issues as you are. The engine would turn on, but if I engaged the clutch to idle it would die. There was also no power being produced, and you had to pedal really hard to keep the engine running. After thorough inspection and cleaning of the carb and exhaust, I realized there had been water damage to my magneto. I replaced the magneto and it worked like a charm. The power was immediately back and the engine would idle well. If you are having idle problems, I'd consider the magneto as an option to help your issue, weird stuff happens with electrical problems. Check for even the slightest corrosion. Good luck.