it is better to use hyphen (dash) than underscore. but i would like to suggest you, do not use more than 3 hyphen in URL.
I've done a few basic tests from what people have said and found that hyphens '-' tend to index better and look to be treated like spaces over using underscores '_' and no spaces at all. I will use them from now on in my links, but not update the past links. The differences isn't that major and I'm sure all three ways is acceptable. Like biznics said the major thing you need to do is rewrite any code like /link?5421fadfsarw123 into a readable url /dads-garage-house.html Having one or two keywords in the url or have it matching the page title seems to help a lot. Thanks for everyones replies, it's quite interesting.
hyphens > http://www.google.com/support/webmasters/bin/answer.py?hl=en&answer=76329 also if domain.com/xbox-360-spiderman-three-game-deadly-webs-of-spiders.html was what made sense then that's what makes sense, if you get my drift
that is one of the seo step, underscores are also used in the seo. and, or, is, in and many simple words are using as space, google will give good result.
both will give you the same impact on Google ...but using " - " will be more readable from a users perspective