I’ve long been dissatisfied with Courier New as a programming font; I’ve found the characters to be bulky and the serifs distracting. For the past year or so I’ve settled on the beautiful Lucida Console as my favorite font to code in. Lucida Console is bundled with Windows XP and Windows Vista, and unfortunately it doesn’t seem to be available for free redistribution. However, you can find some other aesthetically pleasing fixed-width programming fonts, some of which are available for free download, at Hamstu’s Typography of Code.
HT: Woot
Also see the related Nice Fonts for GNU Emacs on Ubuntu Linux.
ProFont is nice as well.
I just use the standard “fixed” font that is default with xterm. It’s concise, clean, and sans-serif. It’s served me well for 8+ years.