While moving my settlers, military units, etc around the screen I have to use the cursor keypad or numeric keypad for short distances, although for longer distances I can use a Go To option from a menu.
This is normal for Civilization--it's how the game was designed.
I often find that the game crashes, sending me back to the Scalos/Workbench screen with a requester displaying a WHDload error message, giving me the choices to Quit, Restart, or Save a log. The keys I remember causing these crashes are particularly the cursor right key on the cursor keypad, then after I started using the numeric keypad keys, I had another crash when I pressed the 2 key.
And these error windows are normal for when WHDLoad crashes. Do you get a crash
every time you press these keys?
Everything you've described sounds like a software problem, some sort of incompatibility between your WHDLoad configuration and your hardware as opposed to an outright hardware failure (but give
this a try, just in case). Does the keyboard give you trouble in any other applications (WHDLoad or otherwise)? That's the problem with these pre-installed system packages. They're set up a very specific way and if there's any variation between the system on which the package is designed and the system on which the package is deployed it can cause problems. It also makes it much harder to diagnose, but let's see what we can do.
First, what is your exact A1200 hardware configuration? Depending on what accelerator/RAM board you have, different global settings are required for WHDLoad. Is the machine NTSC or PAL?
Software wise, make sure you're using the latest version of each of the WHDLoad installs, i.e., that the .slave file on your hard drive matches the one from
this archive. A simple bug that was later fixed might explain everything.
Disable the copper background. These and other hardware-banging system hacks might interfere with WHDLoad. Can you post your startup-sequence and user-startup? What's in your WBStartup drawer? There might be other sneaky stuff running in the background that is causing problems. Basically, you want to get the system as close to a stock 3.1 installation as possible to eliminate software incompatibilities.
Hardware wise, if there is a problem, I suspect the keyboard is merely a symptom of something else, probably power related. Has the motherboard been recapped? Is the power supply verified to be 100% stable? Those are the areas I would look at first if software adjustments don't solve your problem.