Re: Does this merc sound right? Popping sounds? *video*
+1 on the miss. It misses, loads up on raw fuel a touch, then fires rich. Which would explain the excessive smoke.
It probably will not troll well until this is resolved. My 1966 Evinrude 33 misses like that at idle. I can smooth out the idle by richening the mixture. Trolls very nice then, until it carbons up, then I'm stranded.

If it runs fine at speed it could be as simple as carb cleaning or not. If it still breaks down at speed it may be the magneto breaking down.
If a compression test was good I would negotiate for it.
If you are up to tuning, it could be a good deal. If you have to pay a shop then it's an unknown.....
Just my .02