In short, Google Adsense is a program that rewards site owners and bloggers when they serve Google Adsense ads on their sites. At Blogger, you can set your Google Adsense ads to surround your blog posts. You make money when someone click on the ads. Of course, that person cannot be you, and the click must not be an artificial click. If you attempt to click on your own ads, or any action that will artificially inflate the advertisers costs, Google is smart enough to track that and ban your Adsense account. So be careful not to violate Adsense's TOS.
Google Loves Blogs
Advertisers love blogs as well. This is because blogs are frequently updated and usually contain truthful and up-to-date information. Essentially, Google loves blogs, advertisers love blogs, bloggers love Google and advertisers. Everyone is happy!
To Make Money Blogging
To make money blogging with Blogger, you need to have an account with Google Adsense program. Of course, other than Google Adsense, you can still make money from our Dollar Auction. However, if you have Google Adsense, you will make more money. After signing up with Google Adsense, you will have to insert your Google Adsense Publisher ID into "my account" page. Then, your ads will start to show all around your blogs.
What Earns You?
When someone click on one of the ads serving around your blog posts, Google will pay you part of the advertising fee. How much is that part, Google chooses not to declare. Revenue per click depends on how much the advertiser pays to get the ad shown.
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