What it Is:
Basically Google Adsense will place Google ads on your page, your website, or your blog, and you will get paid for the advertisement. The ads will be automatically picked to be relevant to your page and you get commission for bringing traffic to the advertisers site.
How it Works:
You sign up and register a Google Adsense account, place the ads on your site, drive traffic to your site, ads will get clicked and you will get a check in the mail.
Watch this video on how to make money with Google Adsense