Try this, usually works for me:
app.set('appPath', 'public');
app.use(express.static(__dirname +'/public'));
app.route('/*')
.get(function(req, res) {
res.sendfile(app.get('appPath') + '/index.html');
});
Where the directory public contains my index.html and references all my angular files in the folder bower_components.
The express.static portion I believe serves the static files correctly (.js and css files as referenced by your index.html). Judging by your code, you will probably need to use this line instead:
app.use(express.static(__dirname));
as it seems all your JS files, index.html and your JS server file are in the same directory.
I think what @T.J. Crowder was trying to say was use app.route to send different files other than index.html, as just using index.html will have your program just look for .html files and cause the JS error.
Hope this works!