What is the Google ads auction?

The ad auction is used to select the ads that will appear on your pages and determine how much you’ll earn from those ads. … Similarly, our ad auction allows advertisers to state the price they’re willing to pay for clicks on ads or for impressions served on AdSense pages.

For More Information Please Refer:
https://support.google.com/adsense/answer/160525?hl=en
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