I know now that the 38's came out with a 3 wire regulator. But I think that there were two wires attached to one of the tabs. where would those two wires go?
The 1938 DID NOT come with a three terminal regulator. The if you purchased a new regulator after 1938 for a 1938 you got a three wire,, The "thing" with three wires in the picture is an INCORRECT horn relay. The voltage regulator is much larger and mounted on the left side of the fire wall.
The 1938 regulator was 2 coils with 2 terminals for each coil.
As always, Gene is correct. That is the relay for the highway horns. They draw so much current that the grounding wire through the steering column is too small.
With the relay in the horn circuit you complete the circuit for the coil in the relay when you push the horn button. The large current then passes through the contacts in the relay.
