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If you ask me which is better, I would say the Argon food rations paired with Argon habitation. This is for two reasons. First, it is much cheaper. Second, Terran living quarters for some strange reason only house half the population per module. So you need to build more living quarters to support enhanced production. However I would still use Terran MREs and Terran population in Terran space, simply because of how different their build components are. It's much easier to build with local parts than to haul the other kind of parts across the jump network.
Basically you pick food based on race you want on your stations. You want Terrans - you build terran habitats and MRE. You want Argon - you build argon habitats and argon food facilities. The interesting thing is that Medicine made by any race can be used by any other race.