GEAR - If you've taken the aircraft all the way to the thrust and pitch limits, but descent still continues, you are INFINITELY better off in the ground impact with the Gear extended to absorb all or much of the impact load. Of secondary importance is the drag rise with some aircraft which open the gear doors during retraction. Bear in mind that for those aircraft that do not experience a drag rise during retraction, it still extracts power from the engines to operate the Hydraulic or Electrical systems to do so. Aircraft with Pneumatically operated gear retraction (becoming a rarity) would be the only exception (Even then the compressers will extract power to top up the pneumatic accumulator as the pressure is used).
FLAPS - Flap retraction would cause lift loss, thus making the sink rate even worse. There may be some merit as a discussion point in selecting the next stage of flap if stall is imminent and sink rate continues. It would be a short term 'fix', as drag would consequently increase, BUT, there are recorded cases of pilots in a performance limiting situation when impact was imminent in taking an extra stage of flap to delay the stall. The 'Increasing Flap' argument is obviously of no relevance during landing, when, in all probability, Full Flap is already being used.
Regards,
Old Smokey