Is that true that people can earn thousands of dollar on the net??

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i have heard that people have made thousands of dollars on the internet using these websites . they have made their own websites in which they get paid of every click and they even get paid for the advertisements . is that true and how does it work. Then there is also a program called multi level marketing in which you get paid for refering the sites to your friends and on selling the products which is listed on their sites. How does this work and how you get paid for doing such things on the inetrnet