Final answer:
Electrolytic capacitors have a high capacity for their size due to their very thin dielectric layer, which increases capacitance and allows for a more compact design while also allowing greater voltage to be applied.
Step-by-step explanation:
The main reason that electrolytic capacitors have a relatively high capacity for their size is because they have a very thin dielectric. Unlike capacitors that use air as the dielectric with a dielectric constant close to 1, electrolytic capacitors use an oxidized metal in a conducting paste, creating a much thinner layer for the dielectric, which significantly increases capacitance. This thin oxide layer allows for a compact size but also requires careful handling in circuits to ensure proper polarization. It's important to note that since the dielectric constant of the oxide layer is higher than that of air, the capacitance is significantly increased. Also, dielectric materials can withstand higher electric field strengths without breaking down, permitting greater voltage to be applied to the capacitor compared to those with air.