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Do you really need 4wd? The 2003 4.7 2wd does get the best mileage. If you are looking for a 4wd, try to find one without the 3.55 gears. They are the worst in mileage because those gears tend to lug down the engine too much in city unless you drive with OD off.
the 3.55s are actually the most efficient gears as they turn the engine slower per turns of the wheels (3.55 revs of the driveshaft to one of the axle) if you are driving under 40 you should have OD off no matter what gear ratio you have in the back, while most people dont do this and it does not hurt anything if you dont, it is very helpful in the mpg department. btw i have a 02 slt+ w/ 4x4 and the 4.7, i get about 16 around town and 20-21 highway (if im nice on the highway and dont drive like a dick), it all come down to how you drive it, yes a 2wd truck would get better gas mileage than a 4x4 since it is lighter, and is not pushing the extra frictional load of the front half of the drivetrain.
no what you are saying about finding one with the 3.92 gears for city driving, the 3.92s give you a more "peppy" feel, a little quicker launch off the line but that is because it lets the engine turn at higher rpms which puts it more in the powerband, it revs much more easily, but it is NOT more efficient once you get up to cruising speed where you want to turn the lowest possible rpms
(i turn about 2k at 75)
that sounds about right for an awd model actually, my 4x4 is rated for 13 city 17 highway and i have part time 4x4, so you are already doing equal to or greater than your epa rating,(which are inflated to make the vehicle seem like it is better on gas) so you dont have much to complain about, but if you noticed a drop you could start by checking your tire air pressure, run as high as you can without creating an improper treadwear pattern. you could also do a tune up with fresh plugs gapped properly and clean the throttle body, a clean air filter, and maybe some fuel injector cleaner, but all in all the biggest thing you can do for mpgs is to keep your foot out of it, push your seat back so its a stretch to get the pedal to the floor.
also what gears do you have? if you have 3.92s your mpgs will be lower
get a dakota with the 3.7 and a 5 spd manual trans. leave small tires and get a bed cover and you might get 25 mpg that or swap a cummins in the durango.