Grades can be determined either through norm-referenced or criterion-referenced systems. In a norm-referenced system, a student's grade depends on how their performance compares to others in their group. This makes grades relative and can shift scores up or down based on the overall group's ability. A criterion-referenced system bases grades on how a student's performance matches specified standards, making grades absolute rather than dependent on peers. However, criterion-referenced systems are difficult to implement as standards must be clearly defined and grades do not factor in a group's performance. Both systems have advantages and disadvantages for assessing student learning.