The main reason for the transition slot setting is that the t-slot is a bleed just like the IFR and IAB (idle feed restrictor, idle air bleed). The transition slot is different thought because it is a variable restriction that changes with throttle position. Since our carbs idle and cruise off of the primaries, the primaries take precedent over the secondary throttle position. This is especially important in a 2 corner idle carb because the primaries have play in the mixture screws where the secondaries are dependant on bleed area alone basically.
At idle the .020" sets a baseline for your idle mixture because is draws the correct micture to start with from the t-slot while also allowing the richer progression deeper into the t-slot. The idle circuit feeds all the way to WOT. At some point depending on a lot of things, the idle circuit's influence is lost and the mains take over. The mains start point varies with boosters, emulsion hole area, and the MABs (main air bleeds). The IFR IAB relationship will bridge that gap if set in the proper ratio. From Holley or Holley clones, this relationship is set pretty rich to give a "universal tune". This ratio in most cases can be lowered, but only tuning will tell. The IFR affects the idle and cruise. The IAB affects the top of the t-slot more.
The mixture screws meter a combo of fuel and air. The IFR and IAB relationship make that combo. If the IAB/IFR is set to rich it becomes necessary to close down the mixture screws to a point where they become a restriction themselves and won't let the volume of mixture by. If your carbs sets up with 1/2 turn or less on the screws, the carb can't deliver the mixture it needs to.
The mixture screws contribute more to the idle mixture. Once you open the butterflies higher into the t-slots, the IAB/IFR take over and the mixture screws have less influence over your mixture. That is the point where most of you are running into problems because you can't enrich or lean that higher t-slot area and your not into the mains yet. You can richen or lean the mixture screws at this point but then you will negatively affect the idle setting. You'll notice Holley or BG say to raise the float a little or back the mixture screws out slightly. This is because they know most people are incapable of drilling and tapping their IFR/IABs and getting their relation right. So they fix one problem and cause another. Again an over rich idle will run better than a lean so they err to the side of the transition enrichment.
Once you get the mixture right into the transition, you have to get the mains coming in at the right point. This is done with the emulsion holes and the MABs. From there you set your primary jets for higher RPM cruise only (street driven vehicle) and your secondary jets more toward cruise and WOT.
The powervalve needs to come in at the point where load increases enough to need extra enrichment. This point is very hard to find. Your idle transition and main cruise have to be set right with the circuits overlapping where they should first. Then there will be a point where the load increases enough to need the extra fuel switch (the powervalve). Most carb makes say to either go 2" below idle or half the cruise vacuum. This will be close, but in a lot of cases not correct.
If you are willing to drill and tap your restrictions, you can get this set right. An AFR gauge will make all of this a lot easier. It can be done without though, but you really need to know your stuff. There is a lot involved in the process. You need the right drill bits and taps, brass set screws, and to know how to do it all. I got all my info from the Innovate Motorsports board. It took weeks of reading through their posts, but was well worth it. Tuner, Shrinker, and others will answer questions as they come up. Those guys know more than the engineers at Holley, BG, or other clone companies.