Well I screwed in a light bulb into my lamp and turned it on. The light blew and so did 2 outlets and my closet light. So I unplugged the lamp and went to the breaker box (which is unlabeled) so I flipped every breaker in the house knowing one of them had to be it. Anyway the outlets and the closet light still do not work. And I should mention the outlets are from the late 40 as is the electrical in this side of the house. Any advise on how to resolve this issue? Or do I have to kill the power and gut every outlet with the electrical and rewire? I guess my worst fear is there is a short in the wiring and could cause a house fire.

Lets start at the beginning. The branch circuit you describe seems very small. I would expect to have more on it than what you have.

You replaced the light bulb. Was it the correct wattage for the socket?

The bulb "Blew". By that do you mean it made a bright flash or just opened? The receptacle outlets "Blew", by that do you mean you saw sparks or did they just go dead?

Usually when a bulb shorts out it can also take the breaker with it. If the breaker trips, then everything on the circuit goes dead. Usually all that is necessary is to replace the bulb with the correct size bulb and reset the breaker.

Make sure that you push the breaker handle all the way to the OFF position to make sure that the breaker is reset. Then turn the breaker back on.

If the circuit is still dead, then it's time to start searching for additional outlets that are on the circuit. Look for any GFCI receptacle outlets. Sometimes these will trip and if they are not reset they could also cause a dead circuit depending on how they are wired into the circuit.

I unplugged the light and searched for a GfI as well as searched for a subpanel. I didn't find any of these. I also reset the breakers all of them one by one because its unlabeled. I still have no power to these 2 outlets or the closet. And nothing sparked it just went dead. When I went to the breaker panel none of the switches where kicked to the off position. I reset them anyway just in case but nothing happened. I to find it odd that 2 outlets and a closet light would be on one breaker. So does that mean I have a short somewhere?

Okay,

How familiar with safety procedures when working on electrical equipment?

There are two possible ways to work this problem. Both involve using a voltmeter to check for voltage levels. So, do you have a voltmeter and do you know how to use it safely?

Process one would be to remove the panelboard cover, make certain you do not stand directly in front of the panelboard. Stand off to the side. Remember, the panelboard is live and doing something careless can get you very dead.

With the black meter probe clipped to the metal cabinet of the panelboard (bonded ground) take the red meter probe and test each wire connection to each breaker. If the breaker is working properly you should see 120 V (+/-) at each breaker terminal.

If any breaker shows zero (0) volts, it is either off or bad.

If you do not feel comfortable doing this, please call a licensed electrician, not some handyman. The cost of using an electrician is much cheaper than funeral.

OK so I did that and its reading just fine... 120V on both sides so I went back to where it all started knocked a small hole in the wall and traced the wire back to a outlet that is still working. So I'm guessing now is the time I need to kill power and replace the wire? I noticed the wire was corroded. So I'm thinking faulty wiring.

And now I would recommend you hire a professional to survey your electrical wiring. Get some prices and then a second opinion, second price...
If existing wiring in the house is 70+ years old I think you're about due...