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According to my Chilton's '83-91 Ranger/Bronco II/Explorer book, the 8th digit is your engine code. C = 2.0L.
If you really want some gee whiz info for the rest of your VIN: The first 3 digits is Country of origin, Manufacturer & Type (1P(sure its not an "F"?)T = USA, Ford, Truck); 4th digit is gross vehicle weight rating (B = 3001-4000 lbs); 5th digit is model (R = Ranger); 6th & 7th digits are chassis & body type (10 = 4x2 pickup regular cab); we already talked about the 8th digit (C = 2.0L); 9th digit is a "check" digit; 10th is model year (E = 84); the 11th is the assembly plant (U = Louisville, KY) and 12-14 is the sequential serial & warranty number.
It is sorta weird, they have 2 lima 4 cylinders, a 2.0 and a 2.3, why not just give everyone the bigger of the two in a truck. A 2.0 may be allright in a pinto, but a truck should have the biggest 4 banger. I supose it just makes too much sense to do that.
I WAS going to be smart @$$ and say that Ford had plenty of 2.0's lying around after all the Pintos blew up and retired the line in 1980, but after a little research, even the Pinto stopped using the 2.0 in '74 and went to a 2.3 & optional 2.8.
What did the Courier use? That was the fore-runner of the Ranger, right? I assume they based it off that truck.