The filter may make more HP,because to measure HP,you have large throttle openings, and airflow becomes important.If the stock filter flows 500cfm and the K&N flows 550,then the motor will make more power.
(assuming it can use the extra CFM.)
For MPG and daily driving, you have small throttle openings and the throttle reduces airflow.
It is likely that the stock filter( which is sized for Wide open throttle) will flow more than enough air without restriction at small throttle upenings. The extra air flow of the k&N is not needed or realized by the engine.
If the engine only needs 100 CFM,it does not matter that the K&N flows 550CFM, it already has more than it needs.
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