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Classification of simple $W_n$-modules with finite-dimensional weight spaces

We classify all simple $W_n$-modules with finite-dimensional weight spaces. Every such module is either of a highest weight type or is a quotient of a module of tensor fields on a torus, which was conjectured by Eswara Rao. This generalizes the classical result of Mathieu on simple weight modules for the Virasoro algebra. In our proof of the classification we construct a functor from the category of cuspidal $W_n$-modules to the category of $W_n$-modules with a compatible action of the algebra of functions on a torus. We also present a new identity for certain quadratic elements in the universal enveloping algebra of $W_1$, which provides important information about cuspidal $W_1$-modules.