The way I look at RAW is
. It contains the sensor data and all the setting of the camera.
. In PP you check if the camera settings are to your liking and change them to suit your perception.
. Modern sensors have much more DR than can be displayed on the screen or printed. What you see normally (and in jpeg) is the brighter portion of the image. With PP you can maneuver the DR to extract data from the darker areas. What RAW gives you is the ability to utilise the full DR of the sensor.
Jpeg is a lossy compression, so it never recreates the image faithfully. There are always areas where the compression has glossed over the details. So every time you work with it and save, you are loosing details some where. These are what we call jpeg artifacts. For some photographers (press sports etc), where the faster the images reach the audience the better, jpeg is welcome. It is equivalent of the "Polaroid" shots of yester years - click and the picture is ready.
The reason I use RAW, is that
. I rarely get the exposure right, RAW makes it easy to correct it
. At times I expose for brightest region, but also want the shadows clear. Instead of HDR I use the sensor DR and recover the shadows. Of course there is a limit, but it works most of the time.
. I have to scan the images, sort them and then resize the images I like. It does not matter whether I do them in a RAW processor or an Image Processing Software, the time is same. The Nikon Capture NX-D that I am using is all that I need, so shooting RAW does not impact or even slow down my work flow. As others have said, I can always convert the RAW to jpeg, but jpeg to RAW is not possible as yet. That will happen when 16 bit jpeg standard comes.
Regarding TIFF vs JPEG. The former is a lossless format while the latter is a lossy format. If any processing has to be done, I prefer lossless format, as in a lossy format, every write will deteriorate the image further.