These are old rigs. They are all mechanical. From your post it sounds like you are trying to learn the basics. You probably should google for diagrams if you want to understand how the mechanical systems work.
In early Broncos, there are two separate mechanical systems to engage (technically three or four if you count the transmission and clutch) in order to apply power to the front wheels. These two systems are locking hubs and the transfer case.
Your transfer case distributes, via gears, power to the front and rear driveshafts. The stick in the cabin allows you connect gears to the rear only or to the rear and front driveshafts.
The driveshafts transfer power to the axles located in the front and rear axle housings. In the rear, those axles are directly connected to the wheels. In the front, hubs allow the axles to disconnect from the wheels. When your hubs are locked, the axles are connected to the wheels. When they aren't locked, the axles are no longer connected to the front wheels.
So when you shift the transfer case into 4wd, you are engaging the front and rear axles. But, if your hubs aren't locked, then the axles in front spin free within the spindle and do not apply power to the front wheels.