WORD for Mac gone forever?

Can someone explain in plain English why I no longer can use my favorite word processing program after installing Lion?   I know it has something to do with Rosetta which is Greek to me - what is it?   What are the politics behind it?  Is it financial?  Does it have to do with "turf war" between Apple and Microsoft?
Now I will have to learn how to use the Textedit program which on the surface looks rather anemic.  All my files ending with .doc can no longer be read.  However, I can still access them through Time Machine.
Are there any decent word processing programs that are compatible with Lion?   Any free ones?

As it happens mine is Word for Mac 2004.   Well, I followed your very helpful recommendation and uploaded LibreOffice which looks just like Word.  This program also allowes you to convert all the Word 2004 files into a readable document with an .odt extension.  If there was a way I would give you 1000 points for your help.
Max

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