The type of algorithm crucial for sorting and searching data is known as a sorting algorithm. Common examples include quick sort, merge sort, and binary search. These algorithms efficiently organize data in a particular order, allowing for faster retrieval and processing. Sorting algorithms are fundamental in computer science because they help improve the efficiency of various applications that rely on ordered data, such as databases and search engines. Selecting the appropriate sorting algorithm based on data size and characteristics can significantly affect performance and resource utilization.