I edited a 10-minute video doing some pretty major visual effects using imovie, QuickTime and several other tools. It worked just like on my imac. The only issue is that with a shorter battery life, this type of editing cannot be done for long before you have to plug in the charger.
You could always get the app Final Cut Pro X for your MacAir. Seen it used before, and it seems to be quite helpful. You could always check out Tom Moccia on youtube, who gives an in depth tutorial on how this works so your sure it's what you want.
This Laptop really isn't to adequate for any intense work. if your just making a quick film just putting film back to back to make a simple movie then yes but more then that and this computer will not handle it. I will freeze up and crash. at least mine did i sent it back and i got a refund after 3 weeks of the worst computing experiences of my life.