What is fabric with a frame and handle that creates a softer edge?

The correct answer is a diffuser. A diffuser is a type of fabric that has a frame and handle, designed to soften the harshness of light. By scattering the light that passes through it, a diffuser helps to create a more even illumination, reducing shadows and creating a softer edge around subjects in the frame. This is particularly useful in photography and film, where the quality of light can significantly alter the mood and aesthetic of the shot.

While other options like backlights, flags, and reflectors serve important functions in lighting setups, they do not create the same softening effect. Backlights are primarily used to separate a subject from the background; flags are used to block or cut light to control shadows and highlights, and reflectors bounce light to fill in shadows or highlight a subject. Each of these tools plays a distinct role in light manipulation, but a diffuser specifically focuses on softening and spreading light for a gentler appearance.