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Welcome to MR!!
This is a recurring issue that has MANY threads discussing the different techniques with their individual pros & cons.
My technique is to use height:auto with width set at whatever % I wish (or vice-versa for landscape images) whenever I need an inline image (one that doesn’t need its own full page). I use the svg wrapper technique (which is what the plug-in theducks referred to does) for full page images.
However, you mentioned you are making a children’s book. If you are attempting a fixed layout book, then that is very difficult and beyond the help we can give you here. Talk to a professional and be willing to pay dearly for them to go down that rabbit hole.
Otherwise, just search these threads for terms like "SVG wrapper" or "aspect ratio"… you’ll find lots to digest.
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