TV does have a dramatic affect, i upgraded from a 37" pe30 panasonic plasma to a pioneer PDP436XDE HD set and the pic is better from SKY+ on the new set despite going up in size. It does depend on the set, some HD sets look poor an SD and some look better.
PIC is affected by the broadcast but this isnt the tvs fault eg if you are watching the news, when in the studio the pic is great but when they go out on location for a report to say Iraq it is worse. This all down to how its recorded etc (the better the TV pic the more it will show up any flaws in the transmission).
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