I'm not certain but is that black wire a ground for the ammeter illumination light lampholder? (Is it connected to the lampholder shell??)
If so, and if the illumination light burns when you turn on the headlights just tape the wire off - it needs not be connected anywhere. Otherwise ground the wire somewhere inside the ammeter box.
Now if that wire is NOT a lampholder ground, post back what it's connected to....
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That coil at the bottom of the light switch is the headlight dimming coil. The white stuff coating it is probably asbestos(!) insulation. My advice is simply leave it alone. Just make sure no wiring touches the coil when the box cover is in place, as the coil gets quite hot when the headlights are operated in the "dim" position.
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