Jack, my opinion is purely subjective, based on driving 2 vitually identical 200+hp cars, one with 4WD and one with FWD in winter conditions, and a little online conversation with the Audi community. Suffice it to say I kept the 4WD.
I'd guess a FWD sprint car might work pretty well on paved ovals, but could turn into a monster on a rutted dirt track.
You'll recall that, for a time in the 60s, the FWD cars, Minis,Citroens, Saabs et al, were the ones to beat in World Rallying. Now all the players are 4WD.
In regard to LSR, I think ergonomics might be a deciding factor. Making a drivers compartment big enough to house those big brass danglys could be a real issue.<G>