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You are comparing Apple to Oranges. Grid computing is data parellelization, cloud computing is provisioning on demand.
Both have their purpose, different from each other. And yes, you can host grids on cloud provider.
Its not "better" or "worse" when they are used for difference purpose. And no, you do not save on furniture provisioning when you use cloud computing. Nobody in their right mind would host their live servers at their office, they have data centers for a reason. Yes, you can host your test environment on cloud computing, but its not its main purpose. Besides, if your employee has to come to the office, you will need an office, furniture, electricity and yes, their transport will emit carbon dioxide as well (unless they are driving an electric cars, of course).
2 years, 6 months ago on Why Cloud Computing Is Better Than Grid Computing