1. Raster art (also called bitmap art) is a dot matrix data structure representing digital art composed of horizontal and vertical rows of pixels or points of color. A raster is technically characterized by the width and height of the image in pixels and by the number of bits per pixel. When raster images are enlarged, the image quality diminishes. The following file types are ALWAYS raster-based: .JPG | .GIF | .PNG | .TIF | .BMP | .PSD
2. Vector art is made up of lines, curves, shapes and fonts all saved in outlines. Vector graphics appear smooth at the edges no matter how they are sized which provides a high quality of reproduction. The following file types are OFTEN vector-based: .AI | .EPS | .PDF