First off, I must appologize for not explaining in terms you use. To answer your question again...
Yes, there are limits to the amount of words/letters that you can put there.
(character = letter,space, or comma) - (example = kw1, kw2, kw3, kw4. = 19 characters)
Each search engine shows a different amount of words/letters for the title and description. Google shows 60 characters in a IE browser window (including commas & spaces). So some people recommend only putting 60 characters into the title tag.
Yahoo and MSN are different.
The description tag also has a limit - Google shows the first 150 characters in the description tag.
Other search engine vary between 150 and 200.
Keywords also has a limit - Most people say to use 1000 characters or up to 45 words. Google does not use the keywords in the meta content.
To use your example:
<TITLE>word1 word2 ... wordN(allowed 60 characters or 9 words)</title>
<meta name="keywords" content="keyword1, kw2, kw3, .... kwN (allowed 1000 characters or 45 words)">
<meta name="description" content="word1 word2 ... wordN (allowed 150 - 200 characters or 25 words)">
Hope this helps you and sorry for not being as detailed the first time. *Remeber not to repeat words over and over in any of the tags!