The Grid is represented by blue dots in your document and is an aid to accuracy when used in conjunction with the Snap to Grid modifier.
The Grid Tab in the Document Properties dialog is used to define the characteristics of the grid. Three criteria need to be set: spacing between gridpoints, frequency of snap points between gridpoints (No of Snaps) and whether or not the grid is derived from the origin.
The higher the number of snaps, the more places your cursor can snap to between gridpoints. If No of Snaps is set at 1 the cursor will snap directly onto gridpoints, if at 2 it will snap on gridpoints and halfway between them, if at 4 it will snap on the gridpoint and also at ¼, ½ and ¾ of the distance to the next gridpoint, and so on (see Snap to Grid Modifier).
When Grid from Origin is checked there will be a gridpoint directly on the origin, wherever the origin has been positioned.