yes, that is the Peugeot spark problem. no spark at low RPM's, requireing frantic pedalling and high idle.
It's caused by low voltage from your ignition coil. You could try replacing the rotor with one you know is good, to rule out demagnetized rotor. You could try replacing the ignition coil, but that probably won't work. You could start drilling a bosch coil and switch the electrical to a different system. You could buy the CDI conversion kit for $200 and bypass the problem forever.
Since you're just trying to flip the bike for some quick cash, I recommend cutting your losses and selling it for what you bought it for. Unless you have gobs of time on your hands, then tear into that mother.
mkelly, are you using your decompression lever? It should be a lever or the throttle side control that opens a valve inthe cylinder head, making the engine easier to turn over when starting. Your clutch is almost certainly not worn, but it could be broken. Also, you could have the wrong belt.