How to rearrange the desktop folders on my MacBook Air?

You can do it manually by dragging the folders/documents to wherever you want them.

Additionally, there's an automatic grouping available by Control (right) - clicking on the Desktop and selecting Use Stacks or one of these options Sort by or Clean Up By:

Just drag them to the spot where you want them.

Hmmm, I've never had a problem doing that, but I am not running Ventura. However, another thought: I keep my desktop as clean/empty as possible and, instead, use my Documents folder for all my folders with a shortcut to it in the dock for one click access. I just created a folder "B's Docs", put that in the Documents folder and then add all the other folders. They will be in alphabetical order and easy to get to. Just a thought.