Vexxmania said:
120HZ is only good with a none fast paced game, like a racing game for example. For fps games however, most will want to turn this feature off.
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I do agree about the additional lag due to interpolation and yes for FPS games it is recommended to turn it off. However, the additional lag is not that much since newer TVs also have better processors. And as you say, for movies and racing games, 120 Hz is the way to go.
On a side note, if lag is such an important issue, then why not go for plasmas? :)