Short-handled axe (7)
I believe the answer is:
hatchet
'short-handled axe' is the definition.
(I've seen this before)
This is the entire clue.
(Other definitions for hatchet that I've seen before include "Small axe with a short handle" , "Make the peace - bury the . . . . . . ." , "Short-handled axe" , "One makes short cuts" , "cutter" .)