I have googled this but couldn't get a clue of this. I know how to set priveledges for different user groups, etc. But I don't know how do we actually create a user in Joomla which is either guest or author, etc based on registration information that a user enters.
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1The default user group is set in the user configuration. If you want to do something more complex you would need to write a plugin to modify that conditionally. – Elin Apr 12 '14 at 13:33
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For each module, article & menu item (also some components depending on how you use them) there is a permissions tab, and access dropdown menu.
From here you can limit what level of user can use the module, article or menu item.
You can also create new user levels, and user groups to help with making custom access levels.

ol'bob dole
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