Well Google AdWords required a budget to spent on PPC you pay for click every time when somebody Click on your Ad it can be very expensive... Ad Sense you need to have site or blog to put on it in so when visitor click on Ad Sense ad you earn revenue a few cents to over dollar depend of cost per click for particular kw that you getting clicks on Ad Sense ad ...

Google Adwords is for those who want to advertise their sites while Adsense is for those who want to provide their web space to Google for advertising.
in Adword you have to pay some money for advertising while in Adsense you'll get paid by Google.

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It is very simple ..
Adwords: It is way to get business in minor time period with their adds on Google.
Adsense: It is a way to get handsome money from your site online advertise.

Cheers

They are using exactly the same medium, except on opposite sides.

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Adwords and adsense are actually two different sides of the same coin. One is spending money for promoting through Google and another is selling space of website for showing ads.

The Google AdWords program enables you to create advertisements. Google AdWords is Google's proprietary advertising platform. Google generate your text or blog ads on the right hand side of the Google search results.
The Google Adsense program publishers ads on their site and you getting some money out of your site through advertising. With Google Adsense, these sites are able to set up accounts with Google and list advertisements from Google Adwords on the sites.

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