If you ask this you should not be here but I'll give it a try … Link juice is the actual power of a page aka Page Rank, the quality of the blood that flows through its Tags. When pages link, the one that sends out a valid non-nofollow link will pass some value. The more value the page that passes has the more value the page that receives has. The more value a page has the more it will be loved by a search engine.
Search engines knows the possesors of link juice are God-Like. And the God-Like comparison is no joke especially in Google. Link juice can make the difference between 25 hits per day to 1000s of visits per day. Link Juice can bring dead pages back to life and turn mortal sites into Gods.
There are actually two types of link juice here. Mainstream link juice and themed link juice.
The mainstream type of page rank will not do you as much good as themed one will do for you on searches. But it does something a bit more important. It decides the crawl rate. So if a lot of people link to you, you get crawled more often and indexed faster. The faster you get indexed the easier you can make tests and see results virtually in real-time.
On the other hand the Themed Page Rank implies the fact that link will have relevant words about your page there. So a read more will value much less in matters of themed link power and future search relevance of your site then a buy cheap widgets link. Having your keywords, related keywords and keyword stems
The more Link Juice a page receives the more pure the output stream of Page Rank it will have. As Page Rank increases by the numbers, the more links a page has the better the ranking power it passes on.
The more pure the link juice is the stronger your site can get. 1 high page rank link is worth a thousand words a thousand unpure page rank links. Still all links are welcome. It's the search engines who will decide the link's value.
All pages are born equaly in theory. Actually are pages on same domain are born equaly as link juice not only builds page power but also site power. So if you get strength for your domain all your pages will beneficiate from it.
This where the theory that large sites rank better. They do, it's just that if you have 1000 pages and 900 show up in similar pages or supplementals the size is not a big deal. Also supplementals can not pass page rank as they are, theoretically, dead!
Once you get to link juice, cherish it and don't let it go to waste. Checkout my other piece on keeping link juice purity throughout the site where I try to explain best practice in site structure and linking between your own pages.
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