LaTeX tries to guess whether a period ends a sentence, in which case it puts extra space after it. Here are two examples where it guesses wrong:
I watched Superman III. Then I went home.
(Too little space after "Superman III.".)
After brushing teeth etc. I went to bed.
(Too much space after "etc.".)
Note that it doesn't matter how much whitespace you use in the LaTeX source since LaTeX ignores that.