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Many people in northern India celebrate New Year's much later in the year. The Festival of lights doesn't occur until October or November. Lamps are lit and fireworks are set off to symbolize good triumphing over evil. Neighbors share sweets and snacks with each other, but the beautiful lamps and colored lights are the stars of the festival.

One lingering question in my mind comes up again in the above context. Could I use "colorful lights" in the above instead? If yes, does it amount to "colored lights?" If not, why not?
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You could use 'colorful' if you wished to express their effect on the spectator; 'colored' merely indicates the optical appearance-- the lights are not white.
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Mister MicawberYou could use 'colorful' if you wished to express their effect on the spectator; 'colored' merely indicates the optical appearance-- the lights are not white.

Thanks, Mister.

Now I see they both work, but I'm still all at sea as for their different meanings. Could you shed more light?
Colored = not black and/or white; red, blue, green, etc.
Colorful = having striking color
Mister MicawberColored = not black and/or white; red, blue, green, etc.
Colorful = having striking color

Thanks, Mister.

Gotcha.
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