What is the difference between a function decorated with @staticmethod and one decorated with @classmethod?
A staticmethod is a method that knows nothing about the class or instance it was called on. It just gets the arguments that were passed, no implicit first argument. It is basically useless in Python -- you can just use a module function instead of a staticmethod.
A classmethod, on the other hand, is a method that gets passed the class it was called on, or the class of the instance it was called on, as first argument. This is useful when you want the method to be a factory for the class: since it gets the actual class it was called on as first argument, you can always instantiate the right class, even when subclasses are involved. Observe for instance how dict.fromkeys(), a classmethod, returns an instance of the subclass when called on a subclass:
>>> class DictSubclass(dict):
... def __repr__(self):
... return "DictSubclass"
...
>>> dict.fromkeys("abc")
{'a': None, 'c': None, 'b': None}
>>> DictSubclass.fromkeys("abc")
DictSubclass
>>>