Reply by Dan

I would suggest using plywood or sheathing rather then drywall. Plywood is much easier to work with and will be much stronger for hanging stuff up in the shop. The drywall wont hold anything heavy unless you hit a stud and also if you bang into it with a board or tool it will put a hole in it.

To help control the spiders and other insects I would recommend spraying all around the perimeter of the shop with that Ortho home bug defense stuff. It wont keep them all out but I have noticed a huge difference in my shop when using that.

-- Dan - "Collector of Hand Planes"