Multilayer ceramic chip capacitors which satisfy X7R and BX requirements and which are compatible with silver-palladium internal electrodes are made in accordance with the invention. The capacitors exhibit desirable dielectric properties (high capacitance, low dissipation factor, high insulation resistance), excellent performance on highly accelerated life testing, and very good resistance to dielectric breakdown. The dielectric layers comprise a lead-free and cadmium-free barium titanate base material doped with other metal oxides such oxides of zinc, boron, bismuth, cerium, tungsten, copper, manganese, neodymium, niobium, silver, barium, silicon and nickel in various combinations. The dielectric ceramic materials herein can be sintered together (fired) at less than 1000.degree. C. with an inner electrode having more than 80 wt % Ag and less than 20 wt % Pd to form a multilayer ceramic capacitor (MLCC).