I added blog archive widget to my livetvchannelsfree.tv blog (blogspot) today. It increases my keyword density of pages. Now i like to know Google counts keyword density in sidebar widget links. or Google only count keywords in content?. Note: Google penguin affected for my blog for using anchor text (site wide - single keyword)) based internal links. Now i remove it and added blog archive on sidebar. Please provide ur good suggestion...
as far as I know, Google counts keywords on the entire page but may give higher ranking points if keywords are at the top or in headers. Just make sure the widget results in your text being displayed in the page source (browse the site then right click, view source) since some methods like iframes will only show the iframe code and not the actual text.