What Is Going On?

So, I'm shocked and utterly confused about the economy. After this huge bailout for businesses, along with General Motors recently asking for money, it was announced today that Atlanta, Philadelphia, and Phoenix...yes the cities...are asking for the govt. to bail them out. Supposedly more businesses are going to follow soon. Are people thinking they can take advantage of a new soon to be president, that he will just keep handing them money? Maybe, maybe not, I have no clue what is going on? I don't understand a whole lot about this issue. I was at first against the initial bailout because it seemed like way to much money that could be going to things that help out people that are actually in need of it immediately. For God's sake, with the amount of money given out, you could build a homeless shelter that would be as nice as one of the Trump Towers. That would actually be beneficial to society! Then, I went on board with the bailout because all the insiders said it was necessary for an immediate fix. Since then, it doesn't seem to have done anything, and more and more people are asking for money.
American citizens were up in arms when it was rumored that Barack Obama was secretly Socialist. However, when Capitalism starts to fail, people start crying that the Government should equal them out, like what happens in a Socialist country. Sooooo hypocritical.
My Father's business finally is closing shop after 94 years of existence. It has provided our family very well over the years. However, when suits became more exclusive in wear, and then with the economic situation, and with my dad and uncle getting closer to retirement age, to my understanding it wasn't worth keeping the business around. Never once did my family complain, never once did my family ask the government to help them out. That is the way Capitalism works. It is a sink or swim...or a get out when your riding the high wave type of game.
This leaves me wondering why AIG, Lehmann Bros, GM, etc., and these cities are crying right now. If anyone knows the fundamentals of Capitalism, it is these bigwig corporations. And in my totally uneducated guess, is if these corporations fail, new ones will come up after some years.
Again, I know very little about economics (however i did get a big 3 on my AP econ. test), and I'm an idiot and hate dealing with money (unless i'm playing monopoly), so I'm probably completely wrong about everything I've said above, but really. America is supposed to be a tough country. So let's do our John Wayne impression: be strong and stop whining for more when we really haven't earned it!