It's taken a while (see an earlier post), but I've finally found my perfect setup for developing locally on my Mac.
MAMP & VirtualHostX
MAMP is essential for developing locally on Mac. But with URLs like http://localhost/mysite, testing in a browser was a pain. Not anymore. A nifty little app called VirtualHostX makes setting up virtual hosts like http://mysite a snap. Goes with MAMP like peanut butter and jelly. (NOTE: VHX works with MAMP 1.8.4, but I couldn't get it working with MAMP 1.9.)