© 1993 by the American Institue of Aeronautics and Aerodynamics, Inc. All Rights reserved.A constrained-optimization design method which improves the aerodynamic performance of transonic airfoils is evaluated from a design-quality and designefficiency viewpoint. Design efficiency is a measure of the performance improvement and the design time (CPU time). Total-airfoil design and upper-surface design are performed using the Euler and Navier-Stokes equations with several grids, and are evaluated using the Navier-Stokes equations to determine the anticipated physical design response. Even though the cost of the Euler design is lower than Navier-Stokes design, the Navier-Stokes evaluation indicates that the Euler design does not necessarily improve the aerodynamic performance. Therefore, the design optimization should be based on an accurate flow simulation to achieve an actual performance improvement, and the design time is a secondary concern.