This 'project' is really two separate devices.
The first is a Jacob's Ladder or Climbing Arc Device. This device uses a high-voltage neon-sign transformer to step the voltage up from 120VAC to 15kVAC (kiloVolts AC). This voltage is short-circuited across two electrodes, generating an arc. The arrangement of the two electrodes and the physics involved causes the arc to rise. The current coming out of the transformer is dangerous and potentially lethal, so the arc is protected with a plexiglass (or similar material) covering and the device will be supervised or disabled at all times.
The second is a Van de Graff Electrostatic Generator. This device uses a motor-driven belt and roller system to move electric charge from the ground to a metal sphere. This sphere can collect considerable voltage, but since it is low-current static electricity, it is not dangerous and people can touch it. (That's what makes it so fun - you can shock yourself or your friends. If you insulate yourself from the ground you can make your hair stand on end.)
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Ethan Reesor
Ethan Reesor is a junior in high school who spends his free time playing MMORPGs (Massively Multiplayer Online Role Playing Games), programming robot microcontrollers in ANSI-C for his robotics team (when the robotics competition starts), and building fun projects.
http://firelizzard.vndv.com/