1. In elections you vote for a candidate or party, wheras in referenda you vote on a issue.
2. Elections are multi issue (eg party manifesto's) and referenda are single issue.
3. Elections are mandatory, referenda can be advisory or mandatory.
4. Elections are about electing people to hold positions of power, referenda are about influencing those already in power.
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Politics is usually people from the government. Policy is an written contract.
Actually there is no correlation between the bailout plans and the US elections. The plans were initiated by president George Bush to help the economy to recover from the crisis. Though he wasnt in the race for the president post, he initiated it and hence there is no basic connection between the two.
There is a difference