Welcome to RF!
Building a functional, reliable vehicle and going cheap can't be found in the same paragraph...sorry. Been there, done that...when I was 21.
Gds...has that really been 35 years ago...!
I degress. But..if you want a goood HD lift lit, then checkout Dodge Off Road. Dj makes some killer stuff. Then you'll probably want something cheaper and have to settle for Top Gun or similar. Kits like Rough Country or stepping up to BDS are fine for weekend warriors.
Gears are a bit dependent on tires, but 4:56 and 4:88s are about as low as you can go on them. The problem is is that if you are serious about off roading, your stock axles won't live very long with anything over a 35 inch tire.
Your 318 can be built up pretty well without going carburated...fuel injection is soooo much more reliable off road anyway. There's not much in the way of tuners for a '96 with the old OBD1 technology, but you can still build a pretty solid engine. You'll want plenty of bottom end torque for pulling, not top end horsepower.
I would say when you've done a bit more research on your own and have a more definitive plan, we forum members can provide a bit more information.
That would include how big of tire, lift, etc. It's a bit too easy to speculate, but 5 inch lift, 4:56 gears, rear powertrax differential and a fresh longblock with some mild mods would make a reliable dd/ weekender, especially a manual tranny with a granny 1st gear.
