Will raising the plate help?...or hurt? The deeper the motor the more it will dig a hole. Lift it up and the boat wants to squat less. You have to find the sweet spot where the blow out happens it is manageable. Ideally....to let the motor sing to it's top rpm during break over is not a bad thing.
The more set-back.....depends on the set-up and prop choice. It sounds like it should make the hole-shot worse...but.....I've seen where it actually IMPROVES. I think it may be due to physics at work and the old leverage factor. I've always been an advocate of the "planing plates" that bolt up to the bottom of the jackplate...they act as another surface to assist in the hole-shot.