Both give you a lawn. The choice comes down to budget, patience and timing.
Seed
Cheaper by far, with a wide choice of grass types. The downsides are time and care: it takes weeks to establish, needs consistent watering, and is vulnerable to weather and birds early on. A new lawn is often seeded at about 5 pounds per 1000 square feet.
Sod
An instant lawn, laid as rolls or slabs of grown turf. It costs more and must be installed quickly once delivered, but it establishes fast and can be laid in more of the year. A pallet covers roughly 450 square feet.
Choosing
Seed for large areas and tight budgets, sod for speed, slopes prone to erosion, or when you need a usable lawn soon.