The smaller the field, the more quickly the light turns green. Why is this? Doesn't seem as though it should be.

I don't think anyone has ever stated that this was the case. Most likely, because it's "random", you've seen a 'streak' or two happen which just caused it to appear that the green light times were shorter for smaller grids. I'd say just give it more time and things should even out.

It is set to be longer when the field is larger. It gives the server a chance to cleanly add everyone in and have their FPS settle down before the race starts.

I stand corrected

It works like this. If there is a larger grid, the WAIT time while on the grid is longer (to allow everyone to get situated), but the randomness of the green lights dropping is always the same... no matter the grid size.

When you are waiting on the grid and the red lights have not even come on, that is the wait time I speak of (longer/shorter depending on how many people are playing). But as soon as the lights turn red and go 1, 2, 3....... the green light comes on at random, and is not dependant on the grid size.

i think its gay, maybe thats cos im always getting caught out

Quote from vellanet :

It is set to be longer when the field is larger. It gives the server a chance to cleanly add everyone in and have their FPS settle down before the race starts.

Ah, makes sense.

And now a follow-up question? Why is it sometimes two red lights and a green, and other times three red lights and a green?

Quote from Tweaker :

the randomness of the green lights dropping is always the same... no matter the grid size.

unless wind is off in which case the randomizer code gets replaces with this

Quote from Lateralus :

And now a follow-up question? Why is it sometimes two red lights and a green, and other times three red lights and a green?

i think its another measure to cut the wait time short

Quote from Shotglass :

i think its another measure to cut the wait time short

Nope, it's just that some tracks (like Westhill) have only 2 red lights, and some have 3... The timing from first to last red light is always the same though...