Expansion joint is a bit of a misnomer because concrete usually doesn't get any bigger than the day it's placed. Concrete shrinks as it cures and usually doesn't expand any more than it shrunk. There are exceptions of course such as when concrete is exposed to sun and high temps. The foam we all call expansion joint might better be described as isolation joint because it's most common purpose is to prevent binding or restraint
So when do you dowel vs isolating concrete placements? It's obviously project specific but I would offer the following as a general guide.
Use 'expansion' material between elements that will undergo differential movement to prevent binding. An example would be between a concrete wall and sidewalk or around the perimeter of a slab.
Use rebar dowels when you are placing or re-placing part of an monolithic structure where movement isn't expected or desired. An example might be replacing part of a slab or a construction joint in a wall or footing.
Use smooth dowels between elements to prevent vertical movement but allow for horizontal movement. An example would be construction joints in large slabs where you want each section to expand and contract freely but maintain a level surface.
A caveat - I thought this through as I typed so it may be less than comprehensive.
In the OP's case, he has a joint between his shop floor and driveway. If the shop floor is contained within a foundation, I'd lean towards expansion material because each element will want to move differently and you don't want the joint to bind or break especially if frost is a concern. If you don't get frost, you could use smooth dowels to allow each slab some movement while keeping the top of the slabs flush.
Keep in mind that smooth dowels need to be kept square and level or they will bind just as completely as rebar does. A plastic sleeve or grease will facilitate free movement.