That capability will depend on exactly which model MacBook Air you have - more specifically which Apple Silicon M chip it has.
The M2 cannot do a second monitor. It can't do the internal monitor and another external monitor. The lid must be closed to use an external monitor.
The M3 can do the built in monitor + one other, or two external with the lid closed.
MacBook Air 13- and 15-inch with M3 or M2 - Tech Specs - Apple
❝Display Support
M2
- Simultaneously supports full native resolution on the built-in display at 1 billion colors and:
- One external display with up to 6K resolution at 60Hz
M3
- Simultaneously supports full native resolution on the built-in display at 1 billion colors and:
- One external display with up to 6K resolution at 60Hz
- Close the MacBook Air lid to use a second external display with up to 5K resolution at 60Hz ❞