Stroked 340 vs Stroked 360

if that is indeed the case why do all race blocks use smaller/ 340 bearing size?
Not all race blocks use the 340 main dia.
http://www.hughesengines.com/TechArticles/1ritterracingsmallblocks.php
here's a link about the Ritter block. Comes with 340 or 360 main line dia.

Most of the earlier race blocks were designed with the 340 mains, because back in the day most of the quality cranks were designed with 340 main size. This was because most of the people racing small blocks 20+ years ago used 340s (cuz dem dar 360s was nuttin but truck motors).