I don't see how one implies the other. Drug companies get money from selling ingredients for makeshift heroin, they should stop its use?
> CA, USA, of course.
And which laws? Should they block advertisers of euthanasia? Political groups? "Terrorist" groups? This is a very slippery slope.
> How do they solve spam on gmail?
No, if I were to submit many reports with different advertisers from different accounts, there's no way to detect that as spam. There's no comparison with email spam, which is a one-to-many medium.
>I disagree on Adsense, but agree on Search. Making money from illegal activities is illegal in most (if not all ) countries.
Why the distinction between Adsense and Search? Do they not profit from Search?
Google isn't making money via copyright infringement - it's only a byproduct of the actions of separate perpetrators. It's like Microsoft being held responsible for botnets.