RAW doesn't stand for anything, while a JPEG is "Joint Photographic Experts Group." There is no difference between a Raw file and a JPEG when the picture is first taken. But once a photo is saved then the camera converts it to JPEG. This meaning that all of the settings of the image are "baked" into the JPEG. When a raw file is saved the image setting information is saved alongside it, rather than being permanently applied to it. JPEGs are only 8-bit files, which just means that they hold less color information than a 12-bit or a 14-bit. This makes a raw file easier to edit because when you edit a JPEG you'll see colors start to break more quickly. In order to share or print a raw file you'll need to convert it to either a JPEG or a TIFF.
The only reason that people deal with JPEGs is because raw files take up more memory card. Raw files also reduce the burst rate, the speed at which you can take photos, due to it buffering the picture taken. Some cameras do offer raw photos that will offer the ability to shoot smaller raw files, that'll take less time to buffer, therefore increasing the burst rate. When you take raw photos it takes longer to process the photo as well, when you could be outside taking more photos, but the end result is usually a higher quality photo. JPEGs generally are 22MP's, the same as RAW files. The file size for a JPEG is 7MB's, while the file size for a raw file is 27.1MB's. The Maximum Burst (UDMA7 Card) for a JPEG is 16,270 shots and for the raw file its a slim, 18 shots. Approximate Shots (8GB Card) for a JPEG is 1,010 and for a raw file it's only 260 shots. So, clearly, both raw image files and JPEGs both have their benefits and weaknesses. For a higher quality photo choose a raw file and for more photos choose a JPEG.
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