I think there are many ways to monetize a blog, and I don't think ads (especially search engine ads) are the way to go if you don't have a lot of traffic.
Look at Aaron Wall's SEO Blog website. He updates his blog almost daily with tips and tricks about search engine optimization and uses it to sell his book, a downloadeable eBook on SEO. The book sells for $79 a pop.
It doesn't take many sales to make up some decent revenues at $79 a pop, and the blog brings in a ton of visitors wanting to learn about SEO. I bought h is book, and know at least 2 others who did too, so I know it's working for him.
Most blogs are very low traffic, and that doesn't lend well to traditional advertising and affiliate marketing. My point is don't think you have to ONLY use advertising on your blog -- think of other creative ways to make money.
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