What exactly is carving?

 

Wood carving (xyloglyphy) is a form of working wood by means of a cutting tool (knife) in one hand or a chisel by two hands or with one hand on a chisel and one hand on a mallet, resulting in a wooden figure or figurine, or in the sculptural ornamentation of a wooden object. The phrase may also refer to the finished product, from individual sculptures, to hand-worked mouldings composing part of a tracery.

Carving is simply changing the shape of a material usually using tools.
Wood and stone are the most popular materials used but anything solid can be carved. tools can range from basic knives and chisels to diamond tipped power cutters and chainsaws. Carving can be done in relief i.e. forms are carved into the surface of a material, or sculpted in the round.
Carving differs from other forms of sculpture in that it is subtractive; shapes and patterns are created by removing pieces of the material you are working with. Carvings can range from the tiny and intricate such as Japanese netsuke, to the enormous such as Mt Rushmore. Carving is a very ancient art form and many cultures have very old carving traditions.

Some of the finest extant examples of early wood carving are from the Middle Ages in Italy and France, where the typical themes of that era were Christian iconography. In England many complete examples remain from the 16th and 17th century, where oak was the preferred medium in this case Figural carving seems to have been widespread. The carving to represent one's god in a tangible form finds expression in numberless ways. The early carver, and, for that matter, the native of the present day, has found a difficulty in giving expression to the eye, and at times has evaded it by inlaying this feature with colored material.

 

Wikipedia: The History of Wood carving