Everyone sizes differently, especially with idiosyncratic processes like carbon. I don't believe I've ever seen two printers who do it the same way. Be prepared to experiment a little.
Very true, there are several different ways to size a paper for carbon and I have used several of these methods myself. But generally speaking sizing for carbon transfer is different from what we do for gum as the sizing must be quite a bit thicker.
Ultimately the exact method we use is determined by 1) the kind of look we want, and 2) the paper we use. As Phil pointed out if we want a matte/sheen look to our prints we should size with a gelatin solution of no more than 5%, and not a lot of solution. For a more glossy/shiny look size with stronger gelatin solutions (7% or so) and use a lot of solution. I generally favor the second path and size paper in much the same way I coat tissue, using a 7% solution and enough of it to coat the paper to a wet height of about 0.4mm.
One thing I should stress. Hardeners like formalin do not do their job in a day or two. Rather, the size will will continue to harden for up to two or three months, and the longer you wait the safer it is to use the paper for carbon transfer. I am working right now with some paper that I sized last summer and my success rate is about 97% in terms of no frilling. Last summer when I used the paper after a week my success rate was much lower, 70%-80%. This was for fairly large prints of 12X17" or 12X18" and success rate for smaller prints would be much higher.
Also, if you size with formalin be sure to put the paper outside for 12-18 hours after it dries to allow the formalin fumes to leave the paper. If you store the paper without doing this it may cause spontaneous insolubility of the gelatin of your exposed tissue. I say this from experience, not theory.
In papers I have had very good success with Fabriano Artistico, Canson Carvel and Lanaquarelle but each has a different look that you have to see for yourself to appreciate.
I am currently putting together a paper on the methods of sizing used by different people for carbon transfer that I will place in the Files section of the carbon forum that I moderate on Yahoo.
Sandy