Question..How Does A Steering Stabilizer Work and What's It For?

First let me say I am no expert on the subject!! I do have a Scott dampener and it is the only one I have ever owned. It serves 2 purposes 1. It creates drag in the steering on a sudden hit(like catching your handle bar on a tree) to keep the hit from jerking the bars out of your hands. 2. you can adust the drag of regular steering so it doesn't feel so jumpy or twitchy(lak of a better word). I believe that Scotts is the only one you can adjust both high and low sides(sudden hit and regular steering) And it will take a good bit of riding to get it where you like it.

At least that is my 2cents

My Scotts has saved me several times. From high speed flying W's when the bike would stay true to it's intended direction, to low speed bar end hits on trees in thick woods and brush.
Like 2wheeler pointed out, the bars aren't jerked out of your hands and the bike stays going in the direction you point it. At first, you won't notice it, then your riding buddies will notice you are faster. Eventually you will notice that the last tree you just smacked should have sent you over the edge of the trail but didn't. That's the dampner working.
Do lots of searches and reading. Some brands are better than others. I've owned a couple of different types and settled on the Scotts. Well worth the money IMO.

You might try a search; there has been a number of thoughts and comments about the benefits and the particulars of diffferent brands. I'd suggest searhing In Canadian Daves on steering damper and WER