Despo has penalties on food and shield production (limit 2 per square).
Monarchy lifts the penalties on food and shield production.
Republic goes a step further by doubling income with the trade bonus (any square already producing trade will produce 1 extra). However there is a cost in that your military costs more (at least in Conquests). Thus you need to adjust the sliders.
Why a ton of unhappiness? I think (if I remember correctly) Republic has no military police while Monarchy does. Thus you need more Lux and Marketplaces to keep people happy without that. Similar to Democracy which has no military police either while Commie does.
For me personally I used Republic all the time before Conquests and usually just skipped Monarchy.
In Conquests if I have any type of decent size military I just stay Monarchy until Commie or Demo.
Now if you play with Rise and Rule then I go from Republic to either Constitutional Monarchy or Absolute Monarchy.
In all honesty what government you choose may differ from game to game so don't make your strategy count on a specific govt.
Monarchy lifts the penalties on food and shield production.
Republic goes a step further by doubling income with the trade bonus (any square already producing trade will produce 1 extra). However there is a cost in that your military costs more (at least in Conquests). Thus you need to adjust the sliders.
Why a ton of unhappiness? I think (if I remember correctly) Republic has no military police while Monarchy does. Thus you need more Lux and Marketplaces to keep people happy without that. Similar to Democracy which has no military police either while Commie does.
For me personally I used Republic all the time before Conquests and usually just skipped Monarchy.
In Conquests if I have any type of decent size military I just stay Monarchy until Commie or Demo.
Now if you play with Rise and Rule then I go from Republic to either Constitutional Monarchy or Absolute Monarchy.

In all honesty what government you choose may differ from game to game so don't make your strategy count on a specific govt.