Ability to form a concept & generalize is known as-

Abstract thinking is a concept often compared to concrete thinking, in which thinking is limited to what's in front of the face, and the here and now. In contrast, the abstract thinker can conceptualize or generalize, understanding that each concept can have multiple meanings. Such thinkers might see patterns beyond the obvious and be able to use patterns or a variety of concrete ideas or clues to solve larger problems. One example of this contrast could be the reactions of a concrete and abstract thinker to the same painting of women holding a torch. The concrete thinker would interpret the painting in a literal way, but the abstract thinker might interpret the painting as a representation of the Statue of Liberty and conclude the painter wanted to celebrate freedom.