Here OP this archer/eagle guide will help: http://www.spacetimestudios.com/show...quipment-Guide

Damage: Damage range of your normal attack, influenced by your main stat (STR, DEX, INT) as well as equips. Note that you will not be doing the exact damage range shown in this window because enemies have armor as well that decreases your damage. Therefore your effective damage, or damage seen when you hit an enemy, is [effective damage = damage - enemy armor] (see this thread for enemy armor values).
DPS: Amount of damage dealt per second. This is a function of damage and weapon speed (shown in weapon description) but does not take into account enemy armor (see this thread on how DPS is calculated and why enemy armor affects DPS).
So ignoring enemy armour and crit% damage (doubles) and hit%...

Damage per second is the rate you can damage the mob. And Damage is the total damage range you will deal. Naturally if you increase both you will damage more and faster... so it depends on your stats, weapon stats and if it's a choice between the 2 which one give overall more damage over a given time period.

Or just read that useful link (long read!) and pick up the suggestions... or someone will explain it much better!