1. Significant changes... Not very much, not until you change the exhaust manifold and catalytics to something freer flowing. It'll be slightly faster, but it will mostly just
sound faster. The biggest change is by installing a good
original header...
Most original headers give you between 5 hp (with stock muffler and intake... like I've got... dyno-tested, too) to 8 hp (with aftermarket pipes and air-filter). They also make most engines suffer from heat-soak in traffic and hard running, but since your exhaust manifold is under the firewall, it shouldn't be a big problem.
Without doing anything else, changing a muffler on a stock engine and exhaust will net you anywhere from -1 hp to +3 hp. The Jazz's stock set-up is so good that it's hard to get meaningful numbers without proper parts matching.
2. Gas consumption shouldn't change as long as you drive the same way.
3. Are you 1.3 or 1.5? I'm not sure if the 1.5 muffler is bigger than the 1.3's, but if it is, that'd be bolt on.
4. Fremuff, on Osmena Highway (South Super Highway extension), between Quirino Avenue and Buendia Avenue somewhere, I think.
5. You can possibly get a secondhand stock muffler from a bigger engine/car for under ten thousand. Most cheap mufflers cost 3.5k to 5k... but the cheaper, thinner ones sound horrible. Secondhand "JASMA" mufflers cost around 5k, sound great (for straight through), but you should check for damage when browsing (you can find lots of these on the car shop strip at Evangelista, also in Makati).
6. No chambered muffler will give you much in terms of power. If you want a mellow sound and good flow, a straight-through muffler is the way to go. The bigger, the better... best if you get a JASMA.