August W. Booth is Pinocchio.
I didn't come up with this on my own. I saw a couple other people post that idea, and the more I think about it, the more it makes perfect sense. Here's the evidence:
1) If we take Gepetto's words in the pilot: "Me and my boy, we can do it." (in regards to making the magical wardrobe) then that means that Pinocchio was directly involved with the creation of it. Furthermore, How did Gepetto KNOW when he'd finished? There must have been a determined stopping point. You wouldn't just throw the supposed savior in there without knowing what would happen. Which brings me to point two.
2) Gepetto could have thrown Pinocchio into the wardrobe to test it. This would cause Pinocchio to be thrown into our world presumably at about the same time and place that Emma was thrown into. This idea stands up when you take a moment to recall that baby Emma was discovered by the side of the road by a 7 YEAR OLD BOY.
3) August says "Say what you want about me, but I never lie." Nose growing jokes aside, it works with Pinocchio's character.
4) Remember: Gepetto says in the pilot episode that He and his wife tried for years to have a child, but it was not meant to be. So, unless he is in a similar situation to Paige/Grace and living with another family, Pinocchio would have to be somewhere outside of Storybrooke. And given that Pinocchio would have spent the last 28 years outside of Storybrooke, in the same exact manner that Emma was, explains why he was able come to town like Emma did.
5) The fact he shows up after Emma's arrival in Storybrooke says something too. Since Pinocchio knew about the prophecy, he would have know to return in 28 years to help Emma. Emma is probably in town for about a month and a half before he shows up, but seeing as he's apparently never been to town, he probably had to track Emma down after her birthday, cuz he wouldn't have known WHERE they were all being trapped.
6) One person has suggested that his initials A.W.B. might also stand for A Wooden Boy.
7) He probably also the author of the book. Knowing the prophecy and knowing probably most of the stories for all the characters, he would have easily been able to write the book. (I believe he was repairing the book, OR adding a few pages to it here and there.)
cool He might have had something to do with Mr. Gold finding Henry to give to Regina (mentioned in episode 2) After all. how did Mr. Gold find Henry of all people, in PHOENIX, AZ, if he was stuck in Storybrooke.
9) Last bit: (Slight spoiler, highlight to read)
The Pinocchio episode coming up is called "The Stranger". 
