passingthru - 12:24 pm on Mar 28, 2006 (gmt 0)

Isn't it obvious what smart pricing is?

Google charges as much as it can get away with for adverts. Google pays out as little as it can to buy the advertising space. So the fraction it pays out depends on the alternative advertising choices you have.

So your payout is designed to be just higher than any competitor advertising system pays out for your type of site.