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If they are charging for keywords for people to buy hoping other pople will use that word in their search I am wondering what are keywords? A large qty of words then used must be keywords?
If so doesnt that mean EVERY word on my site i will have to check the value of a what a click will cost me before I put it on my site and on adsense or overture plan?
I am confused because I am not sure how I will know that the words I am inputting onto my site are not $50/click words. When I sign up does google actually tell you what the adwords are worth? I know you must bid to buy them but so does that mean if I want to benefit from adsense i have register and pay for every keyword?
How do I determine the VALUE of my keywords and make sure I do not mistakenly have words that will cost me a ton of $. I am new at all of this as you can tell but this is me confused.
Adwords is Google's program for advertisers. Advertisers bid on keywords to have their ads displayed when the keyword is used in a search, or appears on a webpage where their ad is displayed.
Adsense is Google's program for publishers. Google pays publishers for placing ads on their sites. Publishers don't pay Google for Adsense - Google pays them.
It sounds like you are a publisher.
Now, a publisher might, in fact, use Adwords - say, to promote their site. This has really nothing to do with keywords found on your site (other than some relevancy-checking which is done when you place the ad).
Advertisers specify exactly what keywords they want to bid on when they set-up an ad campaign. They enter the keywords into the Adwords system using a web UI (or, alternately, an API.)
Let's say you have a website about widgets, and you want to promote your site. You might create an ad:
Widget World
Learn All About Widgets!
News/Information on all kinds of Widgets.
You have to decide exactly what keywords you want to bid on. A keyword really isn't a "word", but a list of words or a phrase. You can specify a broad match (all of the words in any order), phrase match (exact phrase must be found) or exact match (search must be exactly the phrase you entered.)
For example, you might use these keywords for your Widget site:
widget
widgets
green widgets
red widgets
curly widgets
purple flocked widgets
The bidding on each keyword is independent, and dependent on what your competition is bidding for the keywords.
Now, your site's content does have an effect on the price, though not necessarily a large one. Keywords, ads, and landing page content are checked for relevancy. For example, if you are advertising on widget keywords, but your ad is about legal services, and your landing page is about TV sitcoms, you're likely to pay a higher price, because there's no corresponding relevance.
I'd suggest that you visit the Adwords forum here as well as look over the Adwords help that you can read online at adwords.google.com.