fix(core): normalize file paths in read tool output

[scarf005]

Closes #12394

Summary

• Show clean relative paths for files inside the worktree
• Show absolute paths for files outside the worktree instead of ugly ../../../../../../ paths

Changes

Modified the read tool to check if a file is within the worktree before deciding how to display the path:

• Inside worktree: Show relative path (e.g., src/tool/read.ts)
• Outside worktree: Show absolute path (e.g., /home/user/other/file.ts)

This improves UX by avoiding confusing paths like read ../../../../../../home/scarf/foo/bar/baz.ts.

Testing

Verified that lsp_diagnostics passes on the modified file.

[github-actions]

The following comment was made by an LLM, it may be inaccurate:

Duplicate PR Search Results

Good news! I found no duplicate PRs addressing the same issue.

The searches returned several related PRs dealing with file paths and permissions, but these are addressing different concerns:

• PR fix(windows): better support MSYS/Git Bash path handling #6082 - fix(windows): better support MSYS/Git Bash path handling - Focuses on Windows-specific path handling, not the same issue
• PR Improve permission request messages; add external directory check for write tool #6714 - Improve permission request messages; add external directory check for write tool - Related to permissions and external directories, not path normalization
• PR feat: add granular external_directory permission configuration #5905, feat: glob pattern-based external_directory permission #5841, feat: allow writes to /tmp by default without permission prompt #5388 - These focus on external directory permissions, not output formatting

PR #7015 appears to be unique in addressing the specific issue of normalizing file paths in read tool output to show clean relative paths for files inside the worktree and absolute paths for files outside it.

[aspiers]

Great idea, this is a big improvement! 👍🏼

[github-actions]

Thanks for your contribution!

This PR doesn't have a linked issue. All PRs must reference an existing issue.

Please:

1. Open an issue describing the bug/feature (if one doesn't exist)
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