I tend to dissagree with the statement that you should keep the rpms low, at around 2200. I drive a 98 4.0 manual with 4 inches of lift, armor all around, high lift, spare tire, and 32 inch all terrains on 3.55 gears. I never shift below 3000 unless there is absolutely no load on the engine, like going flat, accellerating very slowly, or going downhill. I regularly get on it pretty hard, but when Im not i drive to save gas. I tend to cruise at 2200 ish if there is no load, 2500-3000 with a load (ie: up a slight grade or more, even when going slow). Just cause you are revving it higher doesnt mean you have to be gettin on it hard (at least with a manual). Peak torque for my 98 is around 3k rpm, therefor why I shift there. I have tried shifting at lower rpms and it tends to bog (not really, but it is happier at higher rmps). And even with my 32's I am lower than stock with gearing with my 3.55 than with stock tires and stock 3.07's. My speedo still reads about 5% too high. I manage between 15.8-16.2 mpg very consistantly, with all city driving, and about 20 on the highway @ 2400 and 75 mph. BTW, traffic permitting, I always drive 10-15 over the speed limit. This is with california 87 octane, and stock exhaust. Only mods to the engine are a KN cone filter, TB spacer, and relocated AIT sensor. My jeep has 135k miles on original everything exept a walbro high output fuel pump (if anything, would REDUCE mileage), doesnt have a fresh tuneup, but I do change the oil very regularly. Just my .02, im sure some of you will dissagree, but just wanted to share my observations.
-Jerry