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Lightroom is much more comprehensive than Photoshop Elements for processing raw files. The version of Adobe Camera Raw in Photoshop Elements has a reduced feature set (some may call it crippled). In Elements, the only ACR tabs/modules available are the Basic, Detail (Noise Reduction and Sharpening), and Camera Calibration.
By comparison, Lightroom and the full-blown version of ACR in Bridge/Photoshop has Basic, Tone Curve, Detail, HSL/Greyscale, Split Toning, Lens Correction, Effects (Grain and Vignetting), Camera Calibration, Presets, and Snapshots modules.
Some of the missing functions can be done in Elements' Editor but ideally you will want to make as many adjustments/corrections as possible BEFORE the raw file is converted to a rasterized format (TIFF, JPEG, PSD, etc).
Also, if you have multiple raw files opened in the Elements version of ACR you cannot sync subset(s) of adjustments (e.g. White Balance only or Sharpening only) like you can in Lightroom or the full version of ACR. You can select all the open raw files but the adjustments made to one will be applied to all the files.
Perhaps this will now change with the regular updates of the "Cloud" versions of Photoshop but traditionally - since new versions of Elements are released yearly - Adobe usually tested new features in Elements first before including them in Photoshop. Many features like the Quick Selection Tool and the Spot Healing Brushes were available in Elements before the full version of Photoshop.
Where Elements shines is in its ability to edit rasterized file formats; the Selections tools are much more robust than those in Lightroom/ACR. Elements also has at least 80 percent of the features of the full version of Photoshop and most of the missing functions can be added via addons; see Elements XXL for example.