Most tools take an amount of effort and apply it differently. With gears you can have a gear that has ten teeth turn a gear with a hundred teeth. This would make one turn of the first gear turn ten percent of the second gear. You could also turn a gear with a hundred teeth against a gear with ten teeth. This would make a single turn rotate the smaller gear ten times. The first example had a ratio of 1:10, the second one has a ratio of 10:1. Basically it is a measure of how much effort is multiplied or divided by the machine.
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