Classification of students in different groups on the basis of their IQ tends to ______ their self-esteem and ________ their academic performance.

Research shows that IQ-based classification and labeling decreases students' self-esteem by creating fixed mindsets and stigmatization. However, this classification has no consistent positive effect on actual academic performance - labels don't improve learning outcomes. The negative psychological impact on self-esteem is well-documented, while academic benefits remain unproven. Option A incorrectly suggests both increase, B incorrectly suggests benefits, and C incorrectly suggests performance decreases.