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When you pull your finger/nail down on the wheel, it creates a spark, and then you push the button, which makes lighter fluid come up and the sparks light the gas. The reason the fire keeps going is because as long as you hold the button down it keeps releasing fluid into the fire. If you were to break the release on the fluid, then it would keep going, making a fire that doesn't burn out until you run out of fuel. This is what happens in a BUTANE lighter, another type of lighter is a NAPHTHA lighter.
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