Final Cut Pro
iMovie
iDVD and DVD Studio Pro (for making DVDs)
Of course these won't help much as they are for Apple computers. I believe Final Cut Pro has a PC version.
They are also rather pricey. Someone who uses less expensive software might be able to recommend something for you, but do not be surprised if there is not a lot out there for less than say $200.
My brother uses it. If you get Dazzle you can transfer your file from the videocamera to the computer and then to a VHS or DVD. like like 150 or up I think.
It'll have to be digital, or else you will need to spend an arm and a leg on a video card that will convert to digital. If the signal isn't digital, you can't edit it. There really aren't too many video editing options for analog video that are inexpensive.
I just checked that dazzle site, and it is essentially a card that will convert your signal to digital. It is only $169 so I would be careful. I'm not sure what kind of quality you will get or compatability. I would do some serious research on that before I dropped any cash on it.
Story: A couple of years ago Iomega had this thing called a buzz card for like $200 that converted video to digital. I bought it to go with my new G3 tower. Turns out the buzz wasn't very good and not even compatible with my hardware, so I had to go and buy a Pinnacle Systems video card that cost $1000. Moral? Do your research.