I found this thread
but had trouble understanding most of it. I have an 89 Toyota 4runner w/ auto trans 4wd. I put it up on jacks (all 4 wheels spin freely) started it up, and put in gear. I can see the front axles spinning when 4wd lever is engaged but not when in 2wd. The front hubs are locked. So what's the next step?

 

one thing I noticed is that the driver's side front axle is turning while the passenger side is not.

 

it sounds like you are thinking that it's a full-time 4wd system? you expect to see all four wheels turning all of the time, like some of the new cars do?

did toyota have that in the '89 4runner? i have an '86 4runner manual shift, i don't know about the '89 autos