Thanks for all the help everyone! I finally broke down and had my sister's bf look at the volvo. He looked at the dist. cap and rotor. I had never changed it in almost 90k miles, so it was all worn out. He said that this should 100% be the problem. Thanks again!
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Michael 'Street'... one AZ '85 244DL 205K miles

If the other suggestions don't work, in what condition is the insulation on your engine wiring harness?

My 81 would start but not idle or run, I finally found bare wires at the starter solenoid. I was able to clean and wrap those wires and position them so they wouldn't ground/short. Cars starts and idles fine now. I just received a new engine wiring harness and am about to install it today. I have since found crumbling insulation at numerous spots.

Hope this helps

Scott

the other suggestions are good, but it has been my experience that backfire problems and indeed idle problems are generally ignition related. I would check the coil and distributor cap. The style of coils that are used on these cars (similar to american muscle coils) can be effected by temperature. A backfire indicates that there is fuel in the cyl (duh thats what blew up at the wrong time) and the fact that if went through the exhaust indicates that the exhaust valve was open when the spark went off. I would check the timing, it is easy to do...my 86 is supposed to be set to 12 degrees btdc if i recall correctly. hope this helps

Simple things first. Muffler could be clogged (from backfire story seems very possible). Fuel filter could be clogged. Either will cause car to die (for different reasons).

Always start a trouble shooting expedition by verifying that known wear items are in good condition. Usually known as a "tune-up."

THEN you can trouble shoot for exotic problems.

Mike!

Disconnect the AMM, engine off, start car if the car runs better with AMM unplugged, try a different AMM.