Vector Images
Vector imaging is the use of lines, polygons, shapes and curves to represent images in computer graphics. Unlike JPEGS and other types of images, Vector images are not made up of a grid of pixels, Instead, vector graphics are made up of paths, which have a definitive start and end point. A path can be a line, a triangle, or a curvy shape.
Because vector images aren't made up of dots, they can be scaled up to a larger size and not lose image quality, unlike if you scared up a raster image. This makes vector images ideal for logo's, which can be small enough to fit something such as a business card, or large enough to fill a large poster or billboard. Vector images usually consist of the following extensions: .AI .EPS .SVG .DRW
Raster Images
Most images on the internet are raster images, this means they are made up of grid pixels, referred to as bitmap. The larger the image, the more disk space the image will take up. Fortunately, image size can be compressed to make sure images don't take up as much memory.
Image compression is basically the lowering of an images size and conversion into one of many different file types, such as JPEG or GIF. Image compression is used to save space by making sure images don't take up as much space when saved. When an image is compressed, the compression can be "lossy" or "lossless". A lossy compression is when an image loses a number of pixels while being compressed, and a lossless compression is the opposite, the image loses no pixels during compression.
There are many different file extensions for images, for example, JPEG, GIF, TIF and BMP. There are more, but these are just examples. File extensions are just different types of image compression, and all basically squash the image into a smaller package to save more space.
An ideal programme for editing raster images would be Adobe Photoshop. Photoshop is used in many different media forms such as print.