Ive not read all of this.. mostly b/c I dont have that much free time...
Anyway, Ive been told the 3.7 responds nicely to mods. There is a custom tuner that I use for my 5.9 Grand Cherokee that goes by the name of 'FlyinRyan.' He uses SCT tuners and creates custom tunes for your Jeep. You use a data logger to log what the Jeep is doing, email it to him, then he writes a tune. Ive not done this with my Liberty since I dont want to spend that much money on it. I wouldve really liked to buy a set of headers, new 2.5" exhaust out the back, ported TB, 4:10 gears, then a custom tune from Ryan... But I just dont want to sink that much money into the kj if I cant be guaranteed that it will make a difference.
My only complaint with the kj is the lack of low end torque from the 3.7. It makes enough power for the kj, just not at the right places. All of my other Jeeps make nice low end torque, but the 3.7 is a higher revving over head cam engine.