Here is a another great article from Picture Perfect explaining the difference between digital file formats. Ever wonder what the heck a JPEG, GIF,TIFF, or RAW file was? This article explains what each file type is, where to use it, and why it is used the way it is. Check out Digital Image Formats – JPEG, GIF, RAW – What Do All These Mean? This is definately something worth reading if you are a photographer or aspiring photographer. There is no sense in spending your time getting that perfect shot, only to find that you saved the image in the wrong format.
I have moved over to completely using RAW files myself for my images. They have a larger files size, but allow for more precise tweaking once I get home and view them in a controlled environment. Check out Why use our camera’s RAW format for some great info on this subject. Here is a quick, and basic, run down on How to fix RAW photos in Elements.