Relative grading refers to the process of allowing the teacher to interpret the results of an evaluation and deciding and assigning grades based on student performance as compared to the others in the class. Basically, the evaluation has a basis or standardization which is the deciding factor as to whether the performance of the student is good or bad compared to others.
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In short, in the relative grading concept, the grades assigned are based on the highest marks achieved by the students. This grading system is being used by some colleges, universities, and even high school classes nowadays. This is a widely acknowledged practice.
For example, in a class if the majority of the students scored between 80 and 90 marks out of the 100 marks, then this entails that scores around 85 marks are assigned a C grade. While B grade would be assigned to students scoring around 90 marks and the highest A+ grade will be allocated to students scoring highest marks. Thus, in the class, if the highest score is a 95, then this will be associated with A+ grade. On the other hand, if the lowest score is a 70 this will be associated with the lowest grade
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