Google does not shorten anything. Google does read your whole listing title.
Here is what happens, though:
Etsy copies the first 45 - 64 characters or so of your listing title into the title tag. The title tag is for the search engines like Google and is not visible on the Web page. This is the part of your title that is usually visible on Google searches when you search for any listing in your shop. Placing your best keyword phrases at the beginning of the title ensures that it will be moved into the title tag and see on Google searches.
Google does see your whole listing title, though, just the way humans do.