You can go off the circumference but I think the big difference will be the change in corner speed. You will now carry more with the new tyres which automatically warrants less teeth. any change in circumference will be nullified in my opinion.
As for ride height, If the circumference is less then yeh ride height will reduce but you have to take these new tyres with an open mind. Go from what setup you know and work from there, I doubt you will alter the ride height much initially if at all. Only in the wet will it be a benefit if its possible to do so with your particular kart. The TKM specific chassis' should have their ride height set fine for dry conditions.
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