Hopefully this will provide you the true answer you are looking for and not just someones unfounded opinion.
Transsexuals (TS) are individuals who strongly feel that they are, or ought to be, the opposite sex.  The body they were born with does not match their own inner conviction and mental image of whom they are or want to be.  Hence the need for hormone therapy, sex reassignment surgery, and various types of cosmetic augmentations and surgeries.  There are some individuals who are not inclined to have sex-reassignment surgery for a variety of reasons.  Some of these reasons are that it is expensive and health insurance does not cover it, or certain health or age issues that would preclude the recommendation for surgery.  Also, a primary factor, especially in a forum such as this, is the economic considerations of continued desirability as a TS provider.  In any case, a person’s level of need for surgical intervention to correct the incongruency of gender dysphoria is a personal decision and should never be chastised or the experience minimized by a population who has not personally experienced gender dysphoria.
Transvestites (TV), or Cross-Dressers (CD), are individuals who wear clothing of the opposite gender primarily for erotic arousal or sexual gratification, although some do so for emotional or psychological reasons as well.  Typically, transvestites are heterosexual, married, and/or well-educated males.  Persons in this population clearly identify as male and have no desire to change that.  There is a segment inside this population who also acts in this regard to shelter or justify homosexuality.  Also, often times the term Shemale is applied to this segment but in fact the term is a simplistic and derogatory term that has roots only in the Porn Industry.  It is for the sole purpose of readily identifying for purveyors a specific fetish grouping of the industry but in fact is not an accurate description of this population.  It cannot be accurately applied to the Transsexual for the simple reason of the “male identity” implication, which they do not have.   Drag Queens are gay males who don opposite gender clothing for their own erotic and sexual pleasure or for that of a partner who is attracted to the opposite gender presentation.
Drag Queens self identify as male.  They view their bodies as appropriate to their gender identity and almost never desire reassignment surgery or opposite gender specific augmentation.

By the way, I not only teach this in a variety of professional forums across the country, I also live it and I am consider an expert on the subject.