depends what your requirements are.
TypedLists are useful for:
readonly data
can contain aggregated data
can utilize the distinct statement
can contain fields from multiple tables/entities in 1 row (easy data binding)
TypedLists are an extension of the DataTable. anything you can do to a datatable can be done to a TypedList.
EntityCollections are useful for:
reading/writing data
can create a graph of entity relations
cannot utilize the distinct statement
has all the features of an entity
I design intranet web applications. As a general guidline I only use entities for writing data and TypedLists for reading data.