I was having the same problem and after re-installing and going slowly through the process of administrator setup I believe I found it. When a course is first setup, roles need to be assigned for the course. This is only done at the Administrator level.
Students can be assigned there by the overall system administrator but that is not to efficient. I tested this by assigning a Teacher the Administrator role and when you login as that person within the course administration block you will now have the ability to assign roles, one of which is a student.
When the student is assigned the role of a student within that course they will have all the rights you have setup for them. There are a lot of options within the permissions area and I am sure I do not fathom all the complexity associated there.
I am just learning myself. Any other insights would be helpful.
I cannot enroll my users in courses
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