Spacing refers to the distance between elements in design, text, or layout. It plays a crucial role in creating visual balance and improving readability. Proper spacing can enhance the overall aesthetic of a project, making it more appealing and easier to navigate. In typography, spacing includes kerning, which adjusts the space between individual letters, and leading, which refers to the space between lines of text. In graphic design, spacing can also involve the arrangement of images, text boxes, and other components to ensure a cohesive and organized appearance.