An algorithm is a finite sequence of precise instructions for performing a computation or solving a problem. There are several key properties of algorithms including that they must have defined input and output, be definite with precisely defined steps, be correct in producing the right output, and be finite so they terminate in a finite number of steps. Different algorithms are analyzed based on their time and space complexity, with a focus on worst-case complexity. Common algorithms include searching, sorting, and algorithms for solving optimization problems. Determining the complexity of algorithms and whether problems can be solved in polynomial time is important for understanding what problems are tractable or intractable.