If you cut open the body of the sprinkler, you can see that this is exactly how the sprinkler works. Inside there is a small turbine, or water wheel:
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If you look down the tube where you attach the hose, you can see a small restrictor that allows some water to flow straight ahead and forces some water to shoot to the left. It is the water shooting to the left that spins the turbine:
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To see the turbine in action, take a look at this video.
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