The basic difference is that if you choose jpeg, the camera takes the data from the sensor and applies its own algorithm, modified by any settings you have set and saves the result as a jpeg. The result is often fine, with the advantage that it can be easily viewed in many applications and devices, file sizes are small. The disadvantage is that any data not used is lost. If you choose RAW files, the camera takes all the data from the camera and saves it. The file size is much larger and you can only open the file in a limited number of applications. The advantage is that you now decide how to manipulate that data into the image you want. For example if there is a dark area in the photo, working with RAW data you may be able to lighten the shadows to show detail. If the camera produces a jpeg that detail would have been discarded. After you have worked on the RAW image you can export the result as a jpeg. I don't know how much you want to work on images to get them just the way you want. If that's important to you RAW is the way to go. If you want to experiment I think NX studio is free for Nikon cameras.
David
