That engine uses what is called wasted spark or something like that ign system. You need to have both spark plug wires hooked to plugs or at least a reasonable gap you would expect them to jump or you have an open circuit thus no spark. Of course an open circuit may well put the finishing touches on a soon to fail coil. Off subject a little but one of the main reasons for coil failure on magneto engines like lawn mowers etc is to crank away on them with the spark plug wire unhooked. The built up voltage has to go some where so it jumps across internal windings in the coil. I have seen several coil failures over the years on that onan engine. If another coil is available you can compare ohm readings between the known good one and yours but I can't give you a known reading off the top of my head.
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Today's Featured Article - New Life for an Old Allis - by Tyler Woods. My friend Jon, has an old '39 Allis Chalmers B. He thought it a marginal tractor that had long since served its time. She smoked terribly and never had much power but he couldn't afford another so he was limping along with what he had. Jon's Allis has a small front loader and though it doesn't carry much, it serves his needs. It was the hard starting and low power that made him think it was time to replace the old girl. Jon called me to help him discover why his tractor wouldn't start
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