Posts: 8,923
Name: Steven Bradley
Location: Boulder, Colorado
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Eugene it's not a stupid question, but one that can't be answered in a single post or thread as others have mentioned. Spend some time here reading through different threads. It'll be confusing at first, but it will start to clear up the more you read.
The link mokmok69 posted is a good one to check out. The SEOmoz guide isn't the end all and be all of SEO, but it should help point you in the right direction.
As far as the meta keyword tag is concerned, it's pretty much useless. The tag is too easy to spam so search engines don't give it any weight in where pages rank anymore.
Keywords are important though. Keywords are what people type into a search engine. You want to identify what those words might be. It's relatively easy to figure out a few of the more common words people might use, but it takes research to find the many many words and phrases they really use. You also want to identify words and phrases that are important for your site.
For example if you sell real estate in Boca Raton Florida you might think the phrase 'real estate' is important, when in truth most people who are searching for real estate aren't looking to buy property in Boca Raton. A better keyphrase would be 'real estate boca raton,' since it eliminates people looking in San Diego and Detroit, and Kansas City, etc.
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