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Deuteronomy 28 spells out all the blessings God promised the Israelites if they fully obeyed Him and followed His commands. As you will see, they are all 'good things from the hand of the Lord'.
Blessing is an act of adoration giving to something of great and immortal value. To be blessed means “to be favoured by God”. Blessings, therefore are directly associated with God and come from God. Thus, to express a blessing is like bestowing a wish on someone that they will experience the favour of God. Deut. 28: 1-2, “If you fully obey the Lord your God and carefully keep all His commands that I am giving you today, the Lord your God will set you high above all the nations of the world. You will experience all those blessings if you obey the Lord your God.
I used to own the 5 volumes of the old International Standard Bible Encyclopedia. I loved the set. Here's an excerpt: BLESSING (berakhah; eulogia): Sometimes means the form of words used in invoking the bestowal of good, as in Deuteronomy 33:1; Joshua 8:34; and James 3:10. Sometimes it means the good or the benefit itself which has been conferred, as in Genesis 27:36, "Hast thou not reserved a blessing for me?" and Proverbs 10:22, "The blessing of Yahweh, it maketh rich." "The cup of blessing" (to poterion tes eulogias, a special use of the word in 1 Corinthians 10:16), means the cup for which we bless God, or which represents to us so much blessing from God. James M. Gray
My answer is short and sweet. When God blesses, he is conferring fullness of life which entails all kinds of things. And, when we bless God, we're acknowledging his blessing.
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