Sammi, don't despair. This is common when a new dog comes into a house but it is temporary. I believe it is just a matter of the dogs getting use to each other and the new situation of being in the same house. Eventually they will be best friends and miss each other when they are separated.

Jealousy can be a problem when another dog comes into the household. Be sure to pay attention to both and not baby the newcomer. She'll fit in eventually. Buddy may need reassurances that you still love him. It's a good idea to give each one some separate attention without the other one around to try to horn in.

Don't change sleeping arrangements for the current dog. If he sleeps on the bed with you continue to let him, but I suggest putting the new dog in a crate in your bedroom or somewhere else if that is what you choose. You'll also want her crated until housebreaking has been re-established and is very reliable. Whatever you prefer for an arrangement do it from the start. I don't recommend having the new dog sleep on the bed right off the bat. This could cause a territory dispute (territory is you) and cause some stress for Buddy because his world has changed.

Both dogs sound like they have dominant characteristics. It may take a few weeks to establish who really is the alpha dog. You just need to watch them and intervien if the rough housing becomes too brutal (actual blood shed). Otherwise, let them sort it out for themselves. Your tendency may be to rescue the underdog. It is important for you, however, to go to the dog that comes out on top in this scuffle, and acknowledge them. This recognition will help them establish dominance. One of these dogs will have to be dominant, the other submissive. After you have reinforced the dominant dog, go to the dog who comes out worse in the scuffle to help them understand and accept submission. Once they feel secure in these roles, the fighting will cease. Do not forget to give the existing dog the same amount of attention as before.

Once alpha dog has been established, you can help prevent spats by recognizing the alpha dog as alpha. Give the alpha dog treats first, let the alpha dog out the door first, etc. Helps keep order in the pack. You, of course, will be alpha over both of them.
If you don't there will never be harmony between them.

The most common display of the alpha dog is mounting behaviors once dominance is established. This is a sign that they are the alpha over the other. When the submissive dog lays there and accepts this then they are secure in their roles.

Your tendency to want Buddy to be the alpha is normal. Be prepared that this may not be the outcome. It doen't mean the dogs are not friends. It just means they know their heirarchy in the pack!

Also, it is not uncommon for a 1 year old to chew something like Abby did with your shoes. I personally would not try to read more into it unless it continues to occur.