I started to learn Google Drive Picker API and started with my localhost (I have created my client id and browser key for the domain http://localhost/
I don't know if Google has changed the API's since the accepted answer, but today, in January 2015, this worked for me, where the above answers didn't:
According to the Credentials page:
Public API access
Use of this key does not require any user action or consent, does not grant access to any account information, and is not used for authorization.
Elsewhere I read that the API/Developer/Browser key is not needed if oAuthToken is used. So, I amended the above code, by simply losing the line:
.setDeveloperKey('AIzaSyB3I3JOepScrZgySA9tBWL9pXAUaLJ-NFg')
For completeness, here's the full amended code, hope it works for you:
Google Picker Example