The ability of the atmosphere to capture and recycle energy emitted by the Earth surface is the defining characteristic of the Greenhouse Effect.
The green house effect is important because it keeps the Earth warm enough for the humans to survive but if the green house effect becomes stronger will make the Earth warmer than usual. Even a little extra warming of Earth will have adverse effect on humans, plants and animals.
Take a look at the image below which explains the Green House Effect vividly
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Image Courtesy:[url=http://www.epa.gov]U.S. Environmental Protection Agency[/url]