Looking to buy a Lcd tv. Either 37 to 42, Should i do 720p or 1080p?

Question

I'll be using a Blue ray player as my hi def source.

Answer 1

DEFINITELY get a 1080p if you'll be using a Blu-Ray as your High-Def source.  Blu-Ray was MADE for 1080p.

Answer 2

You won't see a difference in that size screen between 720 and 1080. The newer TVs do have better contrast ratios (important with LCD) and better scaling electronics so it may be worth it to get a 1080p for that reason. Don't let the resolution be the deciding factor though. If you can find an LCD tv with good contrast and a fast response time (under 8ms) in 720p, buy it.

I happen to like this one:

Sharp Aquos LC37D44U 37-inch 720p LCD HDTV