What are the two handles behind the stick shifter for? I think they might be vent controls but I'm not really sure.

This picture should tell you everything you need to know.

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heater control vents.the heat comes from the back of car.

This is great! Having identification issues with our 78 bug. What book is this this from, so I can get my hands on it! :-)

Its the Owner's Manual. You can get one on ebay and maybe a VW dealer. You could also try a junkyard but you would be lucky to find one there, even more lucky to find one of the correct year. There are also some available for download online in .pdf form. You could check www.thesamba.com or just do a google search for "(my year) VW Owners Manual" But any year manual is better than none. Another book that is very helpful is a repair manual. You can find those at almost any auto parts store, but they probably wont keep a VW one in stock so they will have to order it.