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Photoshop is oriented around editing, Lightroom is organized around… well, organizing and cataloguing. Elements does much of what PShop does, minus some "pro" capabilities, at a fraction of the price.Most casual users don't begin to use the full Photoshop feature set and would be just as happy with Elements. If someone is really strapped, the GIMP is quite capable and the price is right (free). Many Mac users like myself who don't need esoteric features like being able to swap somebody's head from one pic to another are going to Pixelmator, an increasingly popular and capable competitor.
I use both Lightroom 4.4.1 and Photoshop CS6. I only use the Photoshop for advanced editing, i.e., final edits to output for print in large format, graphics, gif and very detailed corrections. I've never even begun to touch the power and capacity of Photoshop CS6. I am able to do about everything I need to accomplish in Lightroom. Lightroom's basic photo processing and editing is extremely good. Lightroom is also convenient for non-destructive edits and folder organization. Again, it is more powerful than I generally need, as I do not perform a lot of photo manipulation and rendering. You've all seen my photos... almost all Lightroom! Hope this helps.
With CS6 one has to be very careful and should have a base knowledge of how the program treats files. For instance if you don't save a file under a new name straight away and start to make changes with the menus at the top of the program window, you can easily degrade your file andnot get the original pixels back. CS6 is designed to use layers to alter the image appearance. That is where temporary changes can be made first.
I noticed a pretty significant increase in processing time and RAM use when I went from Photoshop CS5 to CS6, a pity really. The only reason I "upgraded" was due to the fact Adobe refuses to support newer Camera's RAW files with older photoshop versions, so I was forced to get CS6. I also hate the new monthly subscription model Adobe is trying to force us into; did I mention I hate adobe? Having said that, I use Photoshop because of the multitude of third-party Photoshop plug-ins I use, e.g. Nik Silver Efex, Anthropics Portrait Professional, Imagenomic Noiseware Pro, etc.