What is Google Adsense

 Google adsense is an ad serving network run by Google inc. in which website/blog owners can display contextual (text, images and banner ) ads on their websites/blogs and whenever someone clicks those ads, the website/blog owners ( publishers) get paid (somewhere around $0.01 to $60 per click in some rare cases). Additionally publishers are also paid on per impression basis.
Ad-sense. Yes this is what it actually is. Ads with sense,
how sensibly you use your ads.

Although there are so many other ad serving networks but they don’t pay you as much as Google adsense does, and so are its strict policies against frauds, click exchange and traffic purchase etc.

There are three components of adsense program.

• Advertisers.
• Google Adsense.
• Publishers.

Advertisers:

Advertisers are actually the oxygen of Google adsense program. If all the advertisers suddenly vanish for instance, then Google adsense stands nowhere. Advertisers are the individuals or organizations that pay Google inc. for advertising their websites, business, brands and products. As an advertiser you can set your budget, cost per click that you want to pay to your publishers and then estimate the traffic that will come to your website using GOOGLE ADWORDS.

Google adsense:

Now what Google adsense does? It actually helps advertisers meet relevant publishers. Practically it is very difficult for someone to find out all the people alone and ask them to display ads and get revenue. Here Google adsense comes in. it actually manages all advertisers and publishers and ensures that system runs smooth. In return adsense takes some commission from advertisers.

Publishers:

Here is the most interesting component of Google adsense program. You- the publisher. Publishers are actually the website /blog owners that signup with Google adsense to display relevant ads on their websites/blogs and earn money. They are paid on a per click or per impression basis. An impression is actually a pageview of your blog.