The Bible is not a fairy tale about a gingerbread man. It's not a book where the word "demon" necessarily refers to a shriveled, hunched, and repulsive horned satyr. One must separate symbolism from facts. Christians understand the phrase "the gods of the nations" as earthly, illusory benefits that supposedly make a person happy.

Okay, I'll bring this phrase up again: "The gods of the nations are demons, but the Lord created the heavens." Well, I think now it's definitely "not a fairy tale about a gingerbread man." Because there's context: their gods (whom they worship) are demons, and our God (whom we worship) is the creator of heaven (and everything else, of course). How can one understand from this that it's about some kind of benefits? Everything is clear and distinct. The context is a comparison of worship. Whom do "the nations" worship, and whom do we worship? For pagans, the object of worship is not earthly benefits as such, but gods that personify various aspects of human life, elements, etc., that is, everything that is included in the concept of pagan cult. Yes, there are gods of wealth, power, good, and evil. This is what the psalm has in mind, and not a moral worship of "passions." Don't turn David into a medieval scholastic theologian.
And how Christians understand this and other phrases of scripture can be seen from history. I think no comment is needed.
In general, the Bible develops two fundamentally opposite qualities in a person: I am a sinner, but I am righteous. The question arises: so, am I a sinner or righteous? If I am a sinner, then stop sinning to be righteous. But no, I can't - original sin prevents me (we are already justifying ourselves), but I believe in the true and righteous God who created heaven and earth, and at the same time showed me that I am a sinner. Well, if I can't help but sin, then at least I will be comforted by the promised reward in heaven and will weepingly repent of all the sins that I will still commit, because I cannot help but sin (original sin does not allow it). But I believe in the true and righteous God who created heaven and earth... and so on in a circle. In essence, it turns out to be a "fairy tale about a gingerbread man."