Final answer:
Test norms are established for comparing an individual's performance to a standardized group's performance, providing referential scores for future test interpretation.
Step-by-step explanation:
Test norms are established for D) comparing an individual's performance to a group's performance. This process, known as norming, involves administering a test to a large, representative sample to collect data for this purpose. The resultant norms are referential scores used to interpret new individual test scores, ensuring that the administration, scoring, and interpretation of results are consistent across different applications. Notably, this concept was applied in the development of the renowned Stanford-Binet Intelligence Scale, a test with significant historical importance in education and psychology.
Norms are beneficial as they provide a basis to compare an individual's performance against a set group. By doing this, we can determine where an individual stands in relation to their peers without setting unrealistic expectations. It is essential to understand that norms are not about what a group should know but rather about what they currently do know. The concept of standardization ties closely with norming, requiring that each administration of the test to individuals is done under similar conditions to ensure reliability and validity of results over time.