What You Should Now Know:
The Caste System is the division of Hindu society, there are four castes; Brahmin (priests), Kshatriya (warriors and teachers), Vaishya (farmers and shop keepers) and Shudra (servants and labourers).
Hindu's believe the position you are in this life is due to actions in a past life.
Those actions are also known as Karma.
Dhrama also effects the Caste System because Dhrama is the rule of life and ethical duty Which is following a religion and abiding by the laws. Those who break the rules and commit crimes are demoted down a caste or rank in the Samsara for their next life.