The vacuum wiper motor actually works by atmospheric pressure pushing on the internal vane. Somewhere on the motor is where the air enters. You can try spraying a good penetrating oil over the motor while it is working. The oil will find it's way into the motor along with the incoming air. That may free up the motor so that it will work correctly. If not, then you must disassemble the motor and rebuild it. Or send it to someone who can do that.
I use a vacuum pump instead of running the engine. If you use a vacuum pump you can work on the vacuum motor on your bench.
The windshield wipers on Model A's have a reputation of not working very well. That is why Gary recommended Rain-X, above. The problem seems to be the blade. As far as the rusty arm goes, you can sand it to remove the rust and then paint it with a silver paint.