Simply put:
Think of RAW as the equilivent to a Film negative. You need to process it to produce the image that you want. How much processing is up to you but you have the option to correct, augment and change the results from a RAW file much the same was as you would from negative film.
JPEG is pretty much like a Polaroid Photograph, instant picture. Though with digital you do have a little lattitude to fix or change the image but not to the extent that you can with a RAW file
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Canon 50D, 70-200 f4L IS, 20-35 f2.8L, 100 F2.8L IS, 300mm F4L IS, 430ex, and assorted gadgets. 
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