On a 17C, I would have thought a 19p prop would be the go as I had one on a 17L with a Mariner 135hp. The 17C and 17L are the same underneath. I suggest that you take the 23p off and try a good 19P prop. Something is not adding up right. With a 23P you are pulling top revs but the speed is down. The engine going into "limp mode" is not good. Mine was doing that and the problem was the two throttle postioning sensors were faulty. You best get it looked at professionally.
Duck