1. it seems you have selected wrong configuration for your X server and even your keyboard setup.
question: did you choose the right configuration for your hardware during setup?
What is your hardware? did you encounter any problem during setup or first time booting?
2.
under console mode, ppl can use only those program can run under console.
eg.
vim and emacs for text editing
lynx for surf the web.
minicom for dialing. /adsl-setup and adsl-start for adsl connection.