Seems like yours or a similar question was posted a few days back??????
IFFFFFFFFFF the distributors insulated pass through stu/terminal is indeed shorted out as you mentioned, she will never fire and a test lamp on the coils output (to distributor) terminal when wired up to distributor WILL NEVER LIGHT UP SEE BELOW!!!!!!!!!!!!!!!!!
Here are the tips I posted then, which of course, includes info about the distributors insulated side pass through insulated bushing possibly being shorted as a possible (along with several other) cause.
1) With the ignition on there should ALWAYS be voltage (with respect to frame ground) on the hot INPUT (NOT to distributor) side of the coil.....
2) Over on the coils other OUTPUT terminal:
Hot battery voltage when points are open
ZERO volts when points are closed
Therefore, if the engine is cranked over slowly a test lamp on the coils output (to distributor) should flash ON (points open) and OFF (points closed)
If the lamp never goes off (should when points are closed) the points arent fully closing or,,,,,,,,,,,,,, are burned/carboned severely and not conducting or,,,,,,,,,, the points or distributor isnt well grounded
If the lamp never comes on (and all else is okay), condensor is shorted,,,,,,, or points are shorted out or remain closed,,,,,,, or points or condensor wires are shorted or,,,,,,,,,,, the distributors insulated side pass through stud/terminal is shorted or else the coils LV primary is bad/open
Work through this for more tips and diagnosis
http://www.ytmag.com/cgi-bin/viewit.cgi?bd=farmall&th=5745
John T
John Ts Ignition Troubleshooting