*prepares for long, probably overly complex response*
In my opinion Final fantasy VII is the superior game here. But when I say that I don't mean to take anything away from The Legend of Dragoon, I only mean that pound for pound, FFVII comes out on top.
To really get the answer here you have to go back to when the games were first released. FFVII was groundbreaking on so many levels, the series always has been really, but VII was (and in my opinion still is) the high point of all FF games. The only game that compared to it before in terms of depth and enjoyment was another
Square game called
The Secret of Mana for SNES.
Final Fantasy VII was one of the first video games to attempt a story line of truly epic scale. It was also the first game I have knowledge of to have a character die and not reaper later in the game. At the time it was released the graphics were absolutely stunning and again, ground breaking. To top it all off the fighting system is probably the most customizable and intuitive of any role playing game EVER! In my opinion the game is simply perfect, even the dialogue is mostly great (very, very rare in early games). I still play that game on a regular basis and I have beat it inside and out multiple times. It is art. For proof look at the City of the Ancients.
The Legend of Dragoon on the other hand, while being an excellent game, was made as sort of
response to FFVII. The massive, epic story dealing with character emotions and the killing off of a key character (Later replaced by someone exactly the same :/) are two dead give aways of this fact. However there was an enormousness amount of depth to the game, the world was beautiful, and the battle system was a blast once you got the hang of it. A great game, yes. Just not on par with FFVII.
you struck a nerve with this one, I honestly feel bad for not mentioning Chrono Trigger/Cross and the Ark the Lad series....yeah, Im a bit of an RPG geek.