Arduino bootloader problem?

I am not able to successfully load programs to my arduino. Apparently there is a bootloader on the chip because when I plug it in (usb) a small led blinks near the 14 pin. However, when I plugin an led in the 13 and grnd it does not blink. Does this mean that there is a problem with the bootlader that the arduino shipped with? I had wanted to use this in an installation with range finders communicating with Max/MSP.
Any suggestions?
thanks,
Ronnie

This is an Arduino NG? If the on-board LED blinks/flickers, the bootloader should be on-board. What error do you get when you try to upload? Have you checked the FAQ? http://www.arduino.cc/en/Main/FAQ#upload