Adsense arbitrage...against the rules?

[Speedy_47]

Someone please clarify this for me.

I know many do arbitrage (buying clicks (ie traffic) and recycling that traffic for higher paying clicks.)

Google says on their Program Policies page that "third-party services that generate clicks or impressions such as paid-to-click, paid-to-surf, autosurf, and click-exchange programs."

https://www.google.com/adsense/policies

Am I getting this correct? You can do arbitrage by buying from Google and using Google's ads, but you cannot buy clicks from another site like Yahoo into your site?

It has to be a strictly "Google on both ends" deal when doing arbitrage?

What are the do's and don'ts on Google arbitrage?