Would You Rather Have A Few Lower Grade Coins Or One Higher?

Do both. I have a study/reference collection that cost more than my pickup. An several sets that I have taken out of circulation. I really enjoy foreign coins that I purchase for less than a quarter apiece. Last time I needed my coin fix, and was low on cash, I found a beautiful British Half Penny for fifteen cents.

^ what he said ^

when I first started out it was all about volume. once I had hoarded 3000+ different world coins I narrowed my field of interest to one from each country (instead of one of each type) and canadian colonial tokens.
I think one must go through the "bulk" phase and learn for themselves what they like and what's important. it's not something that someone could have taught me, mistakes will make you smarter and a better collector.
of course if hoarding makes you happy - go for it

I agree with Denco7. You should choose a grade and try and stick with it, if you are attempting to assemble a set. As to what grade, it depends what you like and can afford (or wish to spend) in order to complete the set.
I recently bought a 1921 Peace dollar raw because I really liked the toning on the coin. I submitted it to PCGS and it came back with a VF25 on it, which surprised me. I was disappointed that it did not grade higher, but it did not cause me to regret buying it.
Personally, I try to stick with XF40-45. That's what I like. Aside from price, I find it more challenging to find a nicely circulated problem-free coin than a BU example (in most cases). As I said though, that is my taste.

Over the last year I have definitely graduated to the condition over quantity team. Building uncirculated modern sets by breaking up mint sets probably started me down that path. I am now working on an uncirculated set of silver Washington quarters. I've got all from 1950 - 1964, plus a 1941 and 1942. I also started upgrading my silver Roosies (Mom bought me a circulated set way back in 1974 for $11!) as a picked up a set of 1946 PDS at the last Baltimore Whitman Expo.