TV

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A 22 inch or bigger lcd.

Search "1080p hdmi" on newegg.com, find the largest screen with the best customer review record within your budget. You may want to get a speakerless monitor.

It wery much depends on wether you will play the PS3 as you would in frot of a regular tv, or you will use it kind of like a pc where you sit close to the screen.
If it is the former, then get 30"+ tv. if the latter then get a ~24" but not much bigger, and do not get a tv version, just get a regualar lcd panel.

get an LED tv!!! ITS SOO COOL!!! Its a bit more expensive, but its worth it.

i just got a Sony KDL-40VE5 a few weeks ago and its a fucking awesome TV and its eco friendly so its easer on the bill without any sacrifices ANND its full 1080p with 120Hz motion-flow witch makes a HUUUGE difference on anything that works with it(say bly-ray movies maybe even DVDs?)it was like $800 with a free blu-ray player. good deal if you ask me if your trying to go "40 inch or bigger as they have these n larger sizes.

LED can provide a lower power bill and it is easier for the manufacturer to make a display with good black color reproduction (more black).
LED is however not a guaranty for better color on the screen.