Same thing is happening to me and changing to any of the graphics mode didn't help.
I have a similar problem with the game Blood.
I've tried everything in the "DosBox problems" section. I dunno what to do anymore.
EDIT:
Ok here is a trick that seems to have made things better for me, but I haven't had time to test it for that long. At least I know I get past the initial crash that happened as soon as I started a game.
I changed the graphic mode as described above (to opengl in my case). However, the dosboxsettlers2.conf file doesn't seem to care about that and stayed in overlay (or surface? I don't remember).
So after you've changed your graphics with gog's graphic mode setup.exe, be sure to check your dosboxsettlers2.conf file
Make sure that output= is actually the same as what you set in the Graphic mode setup
So in my case:
1) Opened graphic mode setup, switched to opengl
2) opened dosboxsettlers2.conf file and made the following change
windowresolution=original
output=surface
autolock=true
became
windowresolution=original
output=opengl
autolock=true
I included the lines above and under the output line just to make sure you can locate it, it's at the top. Anyway, seems to work for me.. For now.
Post edited December 20, 2010 by Rubrum