Why is copper a better conductor than iron?
This is, ultimately, a question on solid state physics rather than chemistry. Further, the OP indicates that they are in high school, which kind of limits the depth of the answer that might be useful to them. However, I will try to make a simple, yet detailed answer.

As atoms are brought closer and closer together, their electron clouds overlap and interact. When a crystalline solid is formed, one abandons consideration of the atomic energy levels. Instead, one seeks out the Bloch functions to describe the electonic states - the Bloch functions explicitly consider the symmetries of the crystal. Further, they represent extended electron states, those that extend across the entire crystal. They represent the allowed (energy and momentum) combinations of electrons.

For a metal, the highest Bloch states occur as a band of states which is only partially filled. Unoccupied states lie just above states with electrons. To move an electron about, it needs just a little bit of energy, and off it can go. (Fully filled bands do not allow conduction - for any electron going one way there is one going the other way. This needs a good grounding in solid state physics to fully grasp). 

OK, in general then the conductivity should just be the number of electrons near the line between occupied and un-occupied. Kind of. This line is called the Fermi surface, and things get more complicated quickly. The shape and connectivity of the Fermi surface impact conduction dramatically. Lets take a deeper look at copper and iron.

Copper is a simple noble metal with a beautiful near-ideal Fermi surface (see Ashcroft and Mermin's Solid State Physics book, or C.Y. Fong et al., Comparison of band structures and charge distributions of copper and silver). It turns out that the Fermi surface of copper is almost exactly what one would expect from the free electron sphere. Electrons can move easily in any direction, the surface is fully connected, life is good.

Iron is much more complicated. Following along from J. Callaway and C.S. Wang, Energy bands in ferromagnetic iron one finds two major differences. First, because iron atoms indeed have individual magnetic moments, the overall band structure is split into two different spin states for the electrons. So, each spin state is separated from the others, reducing how each can move (relative to copper, were such splitting does not exist). Second, and more importantly, the Fermi surface looks nothing like a free electron sphere. Instead, for iron the Fermi surface is not fully connected, comprising instead of multiple 'pockets' of electrons that do not communicate directly with the other pockets (and each spin state has a different set of pockets). To move electrons around, they have to 'jump' from one pocket to another through scattering. This makes it much harder to move the 'free' electrons in Fe around to get net conductivity.

An analogy would be the difference of crossing a stream using either (1) a nice smooth bridge (copper) vs (2) jumping from rock to rock (iron). The band structure for copper just makes it so much easier, so the resistivity is much lower.