Final answer:
A competency-based system measures proficiency based on demonstrated skills and knowledge, emphasizing practical skills over theoretical knowledge.
Step-by-step explanation:
A competency-based system measures proficiency based on demonstrated skills and knowledge. It focuses on evaluating a student's abilities and mastery of specific competencies rather than relying solely on theoretical knowledge. In this system, students are assessed based on their practical skills and the application of knowledge in real-world contexts.