I've heard several stories wherin the teller thought the C-145/O-300 just wasn't enough power for a 170. And I'm not sayin' that I'm any different than many pilots who think bigger is better. (Boat anchors, bilge pumps, engines, women's upper garments, etc....bigger is usually better.)

The C145/O300 is a very reliable old design that enjoys an excellent reliability reputaion (at least it did until folks tried to perform "new bearings and paint" overhauls, and scrimp on cylinders, pistons, cams, lifters, mags, carbs, etc.). If properly put together and given even a modicum of care, this engine will take a beating and still get you there in the dark.
But in order to really evaluate it's performance you've got to keep a couple things in mind:
Is the tachometer accurate? Many times a pilot thinks his Continental is worn out or sick when in reality he's just not running it at rated rpm. I've looked at a half dozen such complaints and the owner was amazed when we found out the tach was 100-200 rpm off on the low side, or their prop was different than that specified (and in one case was six inches too short in diameter!) There's just no way the airplane will perform well unless the engine/prop is correct and turning the specified rpm.
Sometimes the pilot forgets to take into account "parallax" when reading the tach. I've found that if I set the rpm to 2500, by the time I lean over at look at the tach from directly in front of it, I'm actually only turning 2450.
Remember that this engine only puts out 145 hp at 2700 rpm. So if you're experiencing 2250 indicated (with an accurate tach) on takeoff, you're actually only getting about 120 hp. Look at the TCM power charts and this can be easily seen.
So don't be afraid to turn up the rpm in cruise with this engine. This engine was designed to be run hard and it won't hurt it, and it'll certainly make your 170 perform again according to the book. Running this engine at slower rpms in the belief that it will make the engine last is false economy. 2350 rpm for 1800 hours vs. 2450 rpm for 1800 hours is 10,800 miles less distance travelled over the life of the engine.