Final answer:
The process of grouping students into different levels of classes based on abilities such as test scores or perceived academic potential is known as 'tracking'.
Step-by-step explanation:
The process of separating students into different levels of classes within the same school based on academic merit or potential is called tracking. This is a formalized sorting system where students are placed on certain 'tracks,' such as advanced or low achievers. Tracking has been a subject of debate among educators and sociologists, as it is believed to perpetuate inequalities within the educational system.
'Tracking' can be contrasted with segregation, which refers to the physical separation of groups in various social settings, and 'stratification', which in a sociological context refers to the uneven distribution of resources among layers within society. Tracking is meant to group students based on abilities with the intention of providing a tailored educational experience, though it has been criticized for reinforcing existing social divisions.