Re: merc 9.8 water pump
Try removing the lower unit and connecting a source of water to the copper water supply pipe. This will tell you if you have any circulation problems in the upper end. I'm thinking you'll find things OK, since you report you're getting air blown out the telltale.
If you indeed have good water flow thru the powerhead, here's a few things to check on the water pump end:
1. Is the plastic "guide tube" present? This tube fits in the top of the upper water pump body and helps guide the copper water pipe into the pump body. If you don't have the guide tube inserted into the pump body, it's real hard to get the copper tube properly inserted as you're installing the lower unit.
2. Is the rubber water tube grommet inserted into the pump body? If this grommet is not present there will be no seal, and water likely will just blow around the copper water tube with none getting to the upper end.
3. Is the impeller key properly installed? It's quite difficult to get these back in place properly (I use a dab of sticky grease to hold the key in place while inserting the impeller as you simultaneously rotate the driveshaft). Easy to check, pull the upper pump body and rotate the driveshaft. Either the impeller spins or it don't!
4. Are the impeller blades all curled up, or are they nice and flexible so that they maintain continuous contact with the stainless water pump insert. The impellers on these have such short blades, that it's very common so see the blades take a 'set' from sitting in one position. The side that's all 'curled up' won't uncurl as the impeller spins. You'll get little or no water pumped if that's the case. Solution: install a new impeller!
Anyway, that should cover all the bases, check it out and report back with the results. I bet you find something!
HTH.......ed