I don't know much about cars, but I do know something about torque.
The equation for torque is [tex]\tau = rF\sin{\theta}[/tex].
The variable r represents the distance from the center of rotation to the point that is rotating. The variable F is the force vector of the point (mass times acceleration in a particular direction). The sine term represents the angle between the axis and the direction that the point is rotating. In this case, this angle is 90 degrees. Since the sine of 90 degrees is 1, all we have to worry about is r and F.
Now if you imagine a point on the outer edge of the flywheel, you could determine r (the distance from the center) and F (the mass of the "point" multiplied by its acceleration).
If you imagine a point on the outer edge of the drive shaft, you would get different values for r and F. So, according to the definition of torque, you would get a different value.
Although the torque is not the same, power must be (nearly) the same or we would have a violation of conservation of energy. So now we turn to the definition of power (in terms of torque).
[tex]Power=Torque\times 2\pi \times Rotational Speed[/tex]
So whichever object (flywheel or drive shaft) has less torque, it must also have more rotational speed. This means both objects are capable of delivering the same amount of power and no conservation laws are violated (whew!).