Mo power for my Mopar 340...
What intake manifold is on there now? Have you run a compression check on it to see what your dynamic compression is?
I'd go with a edelbrock performer RPM (one of the new air gaps) for an intake and a 750 cfm carb. The 750 shouldn't be a problem with an aftermarket intake, headers, cam and 9.5: 1 compression. Actually, it shouldn't be a problem without the intake either, but that might help quite a bit if you're running a stock 4v manifold.
On that note though, while you're in there I'd check out what cam you've before you go to the 1.6 rockers. If you don't know what you've got it may not make sense to go to the 1.6's, and you still may have to respring if you go that route depending on how high the lift is on that cam. You may be better off buying the cam you want and matching the valve springs to it.