Same here. I now use 5 for using it as a laptop and 4 when docked to my 34" ultrawide as my MBP is so far away that small text becomes difficult to read. Gladly macOS remembers the scaling based on where you set it.I go back and forth between 4 and 5 on my 14" MBP.
Imho the menu bar on Monterey looks so huge. The spacing makes it that most menu bar icons disappear. Bartender works fine, but still. Decreasing the spacing with Bartender makes it look too small.I'd use the more space mode more often on the 14" but I think it makes the menubar look so ridiculous. Even coming from the 16" intel though I feel like I have plenty of real estate on the 14. I typically switch on demand when whatever I'm doing would benefit from smaller UI/more working space. Casual browsing I'm almost always on default.
16” with more space. Standard is far too large and wasteful.
You can make fonts bigger if you need to. This is always going to vary by app/user.Fonts are way too tiny with that! I actually will run 16" with larger fonts (#3) relative to default (#4) sometimes on my 16" intel just to make it easier on my eyes, though default is OK. (glasses work better for me than contacts).
I can read the fonts with #5 fairly clearly but I just find them to not be as comfortable.