What you have is a 2.3l Lima engine, nicknamed the Pinto engine because it was first used in 1974 Ford Pinto
Very reliable engine, built like a tank, it has been used in many industrial applications, along with Ford cars and trucks
Mustangs used them for many years
So Good choice for Jeep build
The torque you have is set by the Cam you use, car cams have less torque but more horse power, truck cams have more torque but less horse power.
And you can use custom cam for even more torque
If you want to stick with distributor and carburetor, and NO computer, then that will decide the head you will use
So you will use the 1985 head
If you want to go distributorless and Fuel injected then you will sell the 1985 engine, w/1985 head, and buy a 1989-1994 2.3l with wiring and computer, and may be with a cracked head so you can get a deal and use your 1996 head on it
With the 1985 you can use a 2.3l Duraspark distributor with a Chevy HEI module, yes Chevy, lol, for a very reliable a strong spark system, 1 wire hook up, 12volts, 2nd wire if you want a Tachometer
Carburetors do have draw backs for 4X4s especially when you do steep angles, the float bowls are the problem