This is wrong. Ray tracing simply is a way to determine visibility between two points, just like the Z-buffer. Ray tracing won't produce a color on its own. Path tracing on the other hand is a method which uses ray tracing to solve the light transport integral. It creates paths between the camera and the light using ray tracing and then it calculates the contribution of that path to the image. Most toy ray tracers only handle specular reflection and transmission, and direct illumination. This is called Whitted ray tracing and is probably what you're referring to.