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I've been building one scout, maybe two, then a worker, and then start building settlers. I typically get in about three settlers about the time that the neighbors get pissed and try to snatch up the choice plots of land close by to seal off expansion areas from others or cover up luxuries. With that, I am normally still in the green on happiness, but since I am on the brink of early war at that point, as soon as I start sacking enemy cities I go into the negative fast. Worst was when I had my first large scale war and took about 5 cities and annexed them and was at -20 happiness or worse for like 30 turns until they all built courthouses.
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