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The Solar System was first formed when a hot disk of gas and dust started to spin rapidly around a common center of gravity. Now I suddenly sound like a science teacher, which I am not.
Accretion occured, and the huge spherical ball of gas and dust started to spin faster and faster, until everything flattened into a disk of hot dust. Keep in mind that this process took millions of years, okay? It didn't happen overnight.
The middle of the cluster grew the hottest out of the entire bunch, and also the largest. As we all know (do you know), the more mass something has, the greater its gravitational force.
Now the rest of this story is basically history. The young solar system was formed, while the remaining debris from accretion had started to cluster into ovalish objects and revolve around the sun.
This process can be observed nowadays with planetary nebulae, where suns quite like ours are being born. It'd be nice if one of these stars could create a planet with life....