Final answer:
The community interaction between corals and zooxanthellae is a mutualistic relationship where corals supply algae with resources for photosynthesis, and in turn, algae provide oxygen and waste removal, aiding in building extensive coral reefs.
Step-by-step explanation:
The community interaction described between reef-building corals and the photosynthetic algae zooxanthellae is known as a mutualistic relationship. In this symbiosis, the corals provide the zooxanthellae with a safe environment and the compounds necessary for photosynthesis, such as carbon dioxide and nutrients.
In return, these algae help the coral by producing oxygen, essential for the coral's respiration, and by aiding in the coral's waste removal. Furthermore, carbon fixation by the algae contributes significantly to the energy needs of the corals, thus enabling them to build extensive reef structures out of calcium carbonate which in turn offer habitat for a wide range of marine life.