The paint on the Vibes is thin and soft. When we bought our Vibe it had 34,000 miles on it and was chipped up too. Not as bad as yours but a lot of chips. I ordered a 2oz bottle of touch up paint and a 2oz bottle of clear. I had to clean out the chips with naphtha paint thinner, take tooth picks for the small chips and q-tips for the large chips, and paint the chips. Next go over the painted chips with the clear. After that use a small sanding block (flat piece of metal with rounded edges I made) and wet sand the spots with 1500 grit sand paper lightly. You do not want to sand any of the original clear coat paint off, it is already thin to begin with. After wet sanding, polish the area with a fine polish. It took me about three days to get all the chips done and polished out.
Next you may want to protect it, as the factory paint is not very good. At the very least, keep it waxed and if you really want to protect it, cover it.
I covered our hood with clear vinyl and it did two things: It blended all the little chip touch up spots so you do not even know they are there (touch up paint never matches perfectly), and it has done a great job at protecting the hood from getting more chips.
It many be cheaper to vinyl wrap the hood with a solid color and just cover up the chips. The link I gave you is just one place that does the work or you can buy a pre-cut piece that fits your Vibe and wrap it yourself. It is kind of like put window tint on your car windows. Google car vinyl wrap.
Read more about this here: http://www.creativecolorstudio.com/paintwraps.php