Power is generated during the combustion process.. That power is used to accelerate mass (pistons, rods, crank, flywheel, valve train, clutch, transmission, driveshaft, differential, axles, wheels, tires...) Reducing the mass and/or MOI in everything that is being acted upon by the combustion process increases the rate of acceleration. The measuring system (inertia dyno) directly measures rate of acceleration of ALL the mass being acted upon by the combustion process and uses a formula to calculate an artificial number called "horsepower." Reducing the mass anywhere in the range of measurement increases the rate of acceleration but has no effect on power produced in the combustion process. It does affect a proprietary calculation provided by inertia dyno manufacturers that generates an artificial number called "horsepower."