Either one, really. I'm guessing the pilasters are also partial height, but you're using them to concentrate the overturning moments at discreet points, right? It will depend on the spacing of the pilasters. If you need them every 6 feet, it probably won't be worth it. Check to see which one ends up in a larger quantity of concrete. Consider, also, the reinforcement in the pilaster. That may be more involved than for a typical CMU wall.
As for which is better...a lot will depend on the architectural details and the building envelope. If you just have an 8" CMU wall, insulation may be an issue. In this case, if you're taking the block up 6'-8" and then transitioning to another material (brick, perhaps) on wood studs, then I'd just go for a full height wall with veneer and make everything easier. A 16' stud is no joke, of course, so be careful with that, but I think it will simplify the design and make construction easier.