I have never worried much about monitor size for my computer, but I do care a lot about resolution, and really love having lots of real estate.
In the past I always aimed for a multi-monitor setup, with monitor resolutions of 1600x1200.
My current setup is three 19" 1600x1200 lcd monitors.
(The text font size is just fine for me with those).
But i'm looking to buy a new central monitor, and i'm trying to decide whether to get a 24" (1920x1200) (apx, $320), or to go all the way up to a 27" (2560x144) ($500).
I love the idea of the additional screen real-estate on the 27". But I have a real concern about the screen being "too large" for daily coding.
For tv/movies, the bigger the better.
But for programming, I need to be staring at lots of small text -- and I sit about 2.5 feet away from the screen.
So at a certain point, a large screen is going to mean having to move my eyes around uncomfortably.