What exactly is happening to a Raw photo when it becomes a JPEG and what about Raw photos are so preferable for photo editing

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What exactly is happening to a Raw photo when it becomes a JPEG and what about Raw photos are so preferable for photo editing

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Raw image data has greater dynamic range between the darkest and lightest points and somewhat higher accuracy or the step size between similar colors. In a raw image it is possible to reveal some highlights and shadows that have been blown out by less than ideal exposure time. The lower accuracy of JPEG doesn’t allow extreme adjustments to contrast or color balance without showing compression artifacts.

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