Something to consider here are emissions standards. Around the end of the '60's emission standards were tightened up, causing cams to change, timing settings to change,etc. The reason for the higher idle speeds were due to the leaner mixtures and reduced HC's. Idle speeds are typically established by the cam used. I would not set the idle much below 500 rpm, but if the engine likes those low settings, with no stalling or lope, set them as low as will support smooth performance. Typically below 500 rpm, the air flow through the carb reduces fuel flow, but that depends on the carb as well. If the engine responds smoothly at low settings, fine. The specs were typically for emissions only. Those having top pass emissions testing will typically require higher idle speeds.