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So it is basically just for aesthetics but it definately looks cool to have a Bow, arrows, dagger, and sword all "sheathed" at the same time. So this means if you say, try to equipt the dagger on your hip while you have your sword out, since its already equipped it just dissapears. But essentially all the weapons you do this "bug/glitch/workaround" are equipped at the same time, but sheathed. The bug mgcef described about the weapon damage lowering is easily fixed by reloading a save, and the weapons will still be in place.
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Read that, you will find what your looking for (kinda)
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