Does it ever go over 200f? I'll have to convert to C to help make better sense of the numbers
200f is 93c and the optimal temp for an engine is said to be 88-92c so if it's sat at 200f then you're pretty much on the mark. Oil wants to be at about 90c as well for it to be doing it's job in the best way. In perspective, my 3rd gen (admittedly a more modern engine) had it's operating temp at 210f (99c) with the fans coming on at (220f) 104c.
The stocks thermostat for your car looks to be the normal 195f (90.5c) which is about right based on the optimal temp for internal combustion.
In other words, you seem to be ok
At 210f you'd want no more increase in temp and 220f it'd be a case of wanting to shut the engine off if it wasn't showing signs of stabilising.
In regards to fan not bringing down the temp when they are on, but driving doing so, is most likely explained by the water pump. As the water pump rpm is linked to engine rpm, slightly counter intuitively, rpm helps cool the engine, because it means a higher volume of water is passing through the the engine (higher volume of water passing through = more water to absorb heat). Interestingly, if you have an owners manual, it says that almost word for word. It mentions that when sat in traffic, to rev the engine slightly (raise rpm) to help push more water through the engine in order to cool it better. Maybe try it next time you're out there - i used to raise rpm to about 1,200 rpm for about 10-20 seconds when the fans kicked in and noticed it cooled the engine faster than without revving. Even though you would think that higher rpm = higher temp. As long as you aren't sat at 2,000 rpm, it won't generate much more heat than at idle, but the water flow will increase by about 50% (based on 800 rpm idle).
An alternative would be an electric water pump, that would ensure high flow at idle and you can keep it on a couple of minutes after switching the engine off if needed.
And +1 on what Martin says about the shroud (Martin knows his stuff!). A shroud makes a noticable difference (i'm planning on making one for mine as it's currently just a fan tied to the radiator).
Hope this helps...
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