Transistors are very useful devices which are used in multitudes of electronic circuits. A transistor is a high speed electronic switch, it is also a current amplifier – the current going in at the base (b) is very low, but the current we can pull down through the collector (c) is higher (Fig 1). We call the increase the GAIN of the Transistor.
A Transistor is a sandwich of layers of semiconductor. Two types are used : (i) N type (ii) P type
The N and P just describe the type of semiconductor material in each layer. A simple explanation is that the current flowing to the base (input signal) changes the P type to N type and so allows a flow of current from the collector to the emitter (Fig 2).
The easiest way to understand a transistor (as with many of these electronic components) is to build an actual circuit and see it in action.