Last fall I got a 32″ LED Vizio TV. It has worked great for both playing video games and watching TV. It even has a component input for old video game systems like the Nintendo 64 and Super Nintendo.
I did have to mess with the settings a little bit to get the lighting that I wanted for games. The TV also turns itself off if it hasn’t been used for a while. This feature can either be an annoyance or be helpful.