Yes, this Carter WCB will work, but it was only used for one year (1956 Mercury 312 only) and would be pretty difficult to find one in rebuildable condition. It does have the the correct vacuum signal for the 1954 distributor though, and would eliminate the need for a later distributor. There would be choke hook up issues on a 1954 engine though.
Small base WCFB's were used on other cars in the early to mid 50's too, but are calibrated for other engines and would have the distrbutor vacuum advance signal issue too. Sal Cicala.