questions

So I don't know very much beyond the basics of economics. But when the stock market loses 300 points in one day, and the government bails out companies left and right while leaving others out in the cold, I have to wonder...what should I do?

My honest first impressions: not happy with the government right now. It's like they are rewarding failure. Have we forgotten how free markets work? Some businesses will fail, others will succeed. That's just how it goes. Is it really necessary for the government to step in and buy these companies with my (and your) hard-earned money? Or have we been fooled into thinking the U.S. is capitalist?

If anyone has any answers, I would love to hear them. Or advice. Since my retirement funds have lost significant amounts of money this year, and it's not looking like that trend is going to stop. I wonder if I should stop contributing and save that money for now. Or should I have the hope that things will get better, and 20 years from now, that money will have grown? I don't want to panic. I just want some real answers!