Ceramic capacitors are a type of capacitor that utilize ceramic as their dielectric material, typically in the form of a thin layer of ceramic between two metal electrodes. They are widely used in electronic circuits due to their compact size and relatively low cost compared to other types of capacitors. This is particularly useful for applications where space and budget constraints require efficient use of components. Additionally, they often exhibit stable values over a range of temperatures and can effectively block DC signals while allowing AC signals to pass through, making them suitable for various applications including filters and power supplies.