Pickaxe
Pickaxes function as you'd expect. They mine hard blocks like Stone.

Shovel
Shovels also function as you'd expect. They dig soft blocks like Dirt.

Hatchet
Hatchets chop Wood and cut through Leaves. They also are effective weapons against Shields.

Mattock
Mattocks act like hoes, but can also dig through Wood and Dirt.

Kama
Kamas can be right clicked to harvest and replant all crops in an area, as well as shearing sheep.

Scythe
Scythes break plant blocks in an area, and right clicking will harvest and replant crops. It also has a wider range for attacking multiple mobs at once.

Hammer
Hammers mine hard blocks in a 3x3 area without modifiers. It is also an effective weapon against undead monsters.

Excavator
The Excavator digs soft blocks in a 3x3 area without modifiers.

Lumberaxe
The Lumberaxe chops down an entire tree at once.

Broadsword
Broadswords are a basic weapon, not specializing in anything.

Longsword
Longswords do more damage but swing slower. You can also hold and release right click to leap forward.

Rapier
Rapiers do less damage but swing much faster, and ignores armor. Right clicking will make you hop back.

Battlesign
Battlesigns do less damage but can be used as a shield that reflects projectiles. Cactus as a material is extremely effective.

Frypan
The Frying Pan has increased knockback. You hold right click to charge up a powerful attack that does extra damage and knockback, as well as cooking any drops.

Cleaver
Cleavers do more damage but swing slowly, and have a chance of beheading mobs.

Arrow
Arrows are fired from Bows. Heavier arrows have a shorter range than light arrows. Damage modifiers should be applied to Arrows, not Bows.

Shortbow
Shortbows are faster and more accurate.

Longbow
Longbows are slower, but have higher damage and longer range.

Bolt
Bolts are fired from Crossbows. They do a very large amount of damage and penetrate armor.
To make Bolt Cores, pour the molten material that you want the head to be made out of onto an Arrow Shaft.

Crossbow
Crossbows take a long time to load, but do a very large amount of damage.

Shuriken
Shurikens can be thrown quickly and have a fair range. The ammo count is based on the durability, so if you put Unbreaking X on it it will have infinite ammo.