While the family resemblance between the 2007 Jeep Compass and the Dodge Caliber is unmistakable, Jeep product planners and engineers have gone to a fair amount of trouble to make the two vehicles as different as possible. For starters, there’s the attitude of the two models, with the Compass carrying itself more like a small, if citified, SUV compared to the more car-like Caliber. Much of the credit for this different feel goes beyond simple styling cues to actual physical differences. The Compass is four inches taller and a half-inch wider, and features a two-inch higher seating position. And though Jeep officials admit the Compass isn’t intended for serious off-road work, they’re quick to point out that it does feature a respectable 8.4 inches of ground clearance (with optional 215/65R17 all-terrain tires) and improved approach, departure, and breakover angles that make it better suited to the occasional off-pavement excursion.

Like its Caliber cousin, the Compass is powered by a version of DaimlerChrysler’s new four-cylinder “World” engine. This new family of engines, which have been developed in a joint venture with Hyundai and Mitsubishi, feature variable valve timing to produce more power, better fuel economy, and smoother operation than the those they replace. Unlike the Caliber, however, the Compass gets just one member of this new powertrain lineup, but in our experience it’s the best one. The 2.4-liter puts out 172 horsepower and 165 lb.-ft. of torque while turning in respectable EPA fuel economy numbers as high as 25 mpg in the city and 29 mpg on the highway.

Power is applied to the pavement through a standard five-speed manual or an available gearless CVT automatic transmission that allows the engine to operate in its most efficient rpm range to help maximize fuel economy. Limited buyers can also opt for a version of the CVT with the carmaker’s AutoStick manual shift feature that simulates six traditional gear ratios for those looking for a sportier – or just more familiar – shift feel.

Compass is also the first front-wheel drive product in Jeep’s line-up. For those looking for the added peace-of-mind all-wheel drive brings when the weather turns ugly, Jeep offers Freedom Drive I. This all-new system sends most of the power to the front wheels for better fuel economy until sensors detect a possible loss of traction. For negotiating deep snow or dicey off-road stretches, the system also features a “Lock” mode that transfers up to 60 percent of torque to the rear wheels at low speeds.