A couple of years ago I didn’t have a clear answer. Today I do and it’s digital.
That’s not to say there isn’t a place for film. Artists and some advanced amateurs will continue to use film for a variety of purposes but when it comes to everyday photography the only viable answer is digital.
Now that creates a problem. Unlike film where you took the photos and someone else did the processing, many digital photographers also do their own printing. While you can take your best images to the corner photo developer on disc, you can print your own photos using a dedicated mini-printer for 4″ X 6″ photos which are every bit as good as the corner store variety. For a couple of bucks more you can buy a fabulous photo printer (get one with a 4X6 tray for easy printing of smaller photos) which will print 8″ X 10″ (or 81/2″ X 11″) prints or larger at about the same cost as the commercial printers.