Quote Originally Posted by DLS
Is it a sliding scale, good---->bad, going Raw--->sRaw1---->sRaw2----->large jpeg?

No, there's an abrupt decrement between sRAW2 and large/fine JPG. The sRAW formats are smaller files (both in resolution and in megabytes) but preserve the editing advantages of RAW (penalty-free WB changes being one of them). You can read more about sRAW here.