That's a DIS system and not a points system.
The cap here is on the supply side, on points, it's on the ground side of the coil.
“Since it’s on the power feed side,
When the points open the coil (transformer) primary field collapses, inducing amplified volts on the secondary side. The greater the capacitance, the longer the duration of the spark. V-8s need lower capacitance than a 4, just as the dwell (point gap) is also smaller. If the gap is not sufficient, then there is a possibility that the cap will not fully discharge. Too brief of a spark and you might not light the fire. You can always run a v-8 cap in a 6 or 4, but not necessarily the other way around. While carb issues can affect the strength of the spark, they don't affect spark duration. Best practices are set the dwell, then the time, check for proper spark advance and then adjust carb idle. I have no idea how many hundreds of points systems I had to diagnose and repair. I've heard all sorts of whacky ideas from them being a "false ground", to... well it's been a long, long time. On most cars, dwell was set with the distributor cap and button off. GM had little windows in the distributor caps you could slide up and insert an allan wrench to adjust it while idling. Damn, I think it was GM (AC-Delco). I was almost exclusively imports until the mid 80s. By then, points were starting to become rare. More and more, my fellow auto-technicians had never installed points, changed out a generator, or truly relined a set of brake shoes. Slapping on a set of rebuilt shoes doesn't count.
Most had no idea what the first emission control device was, and had never rebuilt a fuel or water pump. They had become effing parts changers.
Little known fact: except for the 009 (Porsche or racing) distributors, VW retarded the 3rd cylinder to keep the heat down. It was important to match that retarded electrode accurately, or possibly burn the #3 piston exhaust valve. If you installed a 009 distributor, be sure to retard initial timing a degree or two.