Anyway, once i get my flash disk I'll boot with a clean system with without all the crap the previous owner put on (most of the stuff i have no idea what they are and I'll be happy to get rid of magic...I only use the falcon for ace midi and digital tracker and some paint programs)
First thought, it sounds like you've got a PowerUp accelerator, which is a 32mhz from 16mhz cpu overclocker. It gives a very marginal boost to the whole system, GEM was quoted as being around 10% or so faster, which isn't so hot, but for anything using the cpu directly like maths stuff or some 3D graphics, then you got the full benefit of it.
My second Falcon had one of these in, and the I seem to remember that the '32mhz.prg' is a specific program to activate that accelerator. I had it removed and replaced with a Centurbo 2, which was much better
Anyway, if you don't use the '32mhz.prg', then your Falcon should perform as normal.
Second thought, you're using Ace Midi, hope you get around to sharing some of your compositions in due course