Tsk.
You know that anime and cartoon - although differ in meaning, genre, plot, suitability and whatever - are both in the same category: Animation. Which is why Yahoo! Answers put them in this very place.
I mean it. How are cartoons differ than anime? They are both produced using the same technique (be it stop-motion, CG, 2D, 3D, whatever - I don't really know the techniques anyway), the difference are all about the plot and genre. If you say anime is funnier, cartoons are, too. Anime is suitable for certain people only? Oh, come on. You know The Simpsons, Futurama, Family Guy and South Park are actually NOT for innocent children.
And why must ANIME only? Because it's made in Japan? Trust me; the anime Naruto is made not only by Japanese, they also hired KOREAN animators to help out. What about Oban Star-Racer, that is made by both Japanese and FRENCH animators? Oh, please. Even Korean have their own "anime", like Spheres and Chichi Pong Kimchi Pong.
Animation - be it Japanese, American, Korean, Malaysian (what? I'm a Malaysian), French, Australian, wherever they come from - are the same thing despite how you call it, and what level they are in. They truly have no difference anyway. >_>