Is there any easy drag and drop video editing tool similar to but better than windows movie maker? Especially ones with lots of effects/transitions and supports a wide array of formats.
You could try that, but the best and most simpliest type of video editing software are:
WINDOWS:
Adobe Premiere - Latest version (Pro 1.5)
Adobe After-Effects - Recent Version (6.5)
Avid Free DV Click here for more info
Cyberlink PowerDirector LINK