Which are better flat panel TVs? Plasma or LCD?

There are pluses and minuses to each type. Here are the major items to consider, and you should decide for yourself after looking at the sets themselves:

Picture quality of plasma is brighter, better color, better blacks than LCD. (There is something about looking directly at glowing phosphors!)

Sharpness is the same for equivalent pixel counts. Some newer LCDs have 1080 x 1920 resolution, most plasmas still in the 720 x 1280 range.

Plasma is heavier and uses more power than flat panel LCD.

There are reports that plasmas are not as reliable or they don't last as long, but that is no longer true with the latest models. Plasma phosphors dim slowly over time (but not as fast as CRT phosphors); but direct view LCDs use flourescent lamps which also dim and eventually burn out (some are replaceable).

Plasmas are subject to burn-in. A stationary image left on the screen for a long time could produce a permanent ghost image. The most risk is when viewing a lot of 4:3 ratio pictures (non-HD), which are displayed with vertical dark areas on the left and right to fill in the wide screen. There are ways to minimize this, however. many sets have a "stretch" mode which widens the picture to fill the whole screen. This could also be a problem with extended playing of video games if there is a background image that remains stationary.

Plasmas come in larger sizes, although large flat panel LCDs are coming out, but they are expensive.