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   The wiring in your home is the main way of power that feeds every electrical in the home.  Years gone by, over the times, like everything else, it starts to break down and may need to replace at some point.

The insulation dries out and begins to crumble, causing the inner wire to be exposed.  The cloth insulation around the wire deteriorates with age and eventually becomes dangerous.

If your home has these older versions of wiring, I'd recommend changing the wiring and updating the amount of outlets in your home. 

Your house is wired with different types of wire. Each has specific use to accommodate the load and its conditions.
The circuit breaker box is the master of power where the electricity from the grid connects to your house.  From here your breaker box divides up the electrical source to different rooms.

If your house is already old and the wiring itself is surely old as well, it is better and more safe to redo and rewire it.
You should consider Electrical improvements in your house for you and your family safety.