Speed is the same on modern architectures. The problem with unsigned int is that it can sometimes generate unexpected behavior. This can create bugs that wouldn't show up otherwise.
Normally when you subtract 1 from a value, the value gets smaller. Now, with both signed and unsigned int variables, there will be a time that subtracting 1 creates a value that is MUCH LARGER. The key difference between unsigned int and int is that with unsigned int the value that generates the paradoxical result is a commonly used value --- 0 --- whereas with signed the number is safely far away from normal operations.
As far as returning -1 for an error value --- modern thinking is that it's better to throw an exception than to test for return values.
It's true that if you properly defend your code you won't have this problem, and if you use unsigned religiously everywhere you will be okay (provided that you are only adding, and never subtracting, and that you never get near MAX_INT). I use unsigned int everywhere. But it takes a lot of discipline. For a lot of programs, you can get by with using int and spend your time on other bugs.
