On your second point, 2. Light was faster way back then................, would imply a medium exists which affects the speed of light which violates Einstein's long established relativity theory - no?
On your first point, 1. The Universe was smaller way back then. What if the universe was actually larger back then? What if instead of expanding, the universe is actually contracting, growing smaller at an ever increasing rate like expanding foam, but in reverse?
Einstein’s Speed of light limitation is good only within its frame of reference.
As the universe expands, the speed of light as observed from a great distance appears to slow down, but within that frame of reference the speed of light never changes..........
The Universe is a gigantic Black Hole. All galaxies are "falling" down the hole.
Galaxies "farther down" the hole are "falling" faster than us and appear to be receding from us.
Galaxies for which we are "farther" down are not "falling" as fast as we and also appear to be receding from us.
I wish I had the Math capability to examine this theory.