Mat 14:27 Jesus spake unto them, saying, Be of good cheer; IT IS I; be not afraid.
Ego is an oft used word. It is Greek and Latin for "I" or "the self". God is Ego capitalized because He Is God. When speaking in the first person, almost every sentence contains "I". The more "I's" used in speaking, the more self-centered the person is. I write. I try to write without using "I". I fail because it is next to impossible because all of what I say pertains to me. That accentuation of the self is what Sigmund Freud called "the ego". In psychology, the Latin word ego is the organized part of the personality. It mediates between the id and reality. The id is the unorganized part of the personality and contains the instinctual portion of the personality. The "id" is that of which a person is born. Id is Latin for "it".
In theology, id is the nature of the person and includes the propensity to sin which is genetic from Adam's "original sin". In scripture the id is referred to as "the flesh". "It" tries to do what "it" wants to do! The ego is the part of the personality which rationalizes the id with reality, thus when one sins, the ego attempts to protect the id.
In our own existence, life is all about "I" or the "ego". The id seeks to do what is right in the person's own eyes (Deut 12:8). Thus, every person must make a choice: Shall I do as I please or shall I do what pleases God? Being born-again is when one submits the ego to Ego Eimi. The super-ego drives that idea forth. The ego quits rationalizing sin and making excuses for the id - which is essentially the human will.
The ego knows the intent and desires of the id, and makes an honest appraisal compared to truth: I am a sinner, I know it, and God says that sin will cause me to die for eternity. The ego must do something about that situation. However, unlike Ego Eimi, the ego has no power to protect. Reality is that only God can save! When the ego faces that truth, "it" - the id - is set free (John 8:32). Therefore, the person born-again is honest about his nature - the id - and trusts Ego Eimi to keep the self-centered id alive. Ironically, the ego even protects the id in the face of Ego Eimi. The "I" submits to Ego Eimi so that the id can keep on living forever. The ego still seeks to protect the id by submission to Ego Eimi. The dying wish for everyone is that their "it" (id) and "I" (ego) lives on! That can happen only through the grace of Ego Eimi! God works through the "super-ego" which is the conscience.
Freud turned away from his family's faith but still made use of what he had learned. Basically he turned his religion into what is considered a science. Even the word psychology means "the study of the soul". Freud understood the dualism of the human will, and knew that when there was a gap between what one wills to do and what is reality, chaos results. The "sickness" which ensues that is caused by the conflict is iniquity. No one can live in iniquity without feeling guilt except the psychotic person which scripture refers to as the reprobate. (Rom 1:28). When the ego no longer protects the id, sinful behavior without guilt comes about. God gives the ego over to the id. The psyche dies just as God warned (Gen 2:7). That is when he ego is beyond caring!
If the ego still cares, Satan deceives it and says, God is wrong, you will not die! (Gen 3:4). Thus, the ego continues to protect the id knowing full-well that the psyche can and will die if it - the id - continues iniquitous. Neurosis is the guilt that ensues as the ego still falsely protects the id whereas psychosis is the ego losing touch with reality. That is a dangerous place to be; either out of touch with divine justice or playing games with God's warning. Only Ego Eimi can heal either the neurosis of rationalization or the psychosis of living without acknowledging Ego Eimi who is, if you have forgotten, God Himself!
Guilt and spiritual sickness comes down to the battle of wills: your ego versus Ego Eimi. Your entire existence - your I - depends on submitting your ego to God.
Rom 12:1-2 I (Ego Eimi) beseech you (your ego) therefore, brethren, by the mercies of God, that ye (the ego) present your bodies (your id)a living sacrifice, holy, acceptable unto God, which is your (ego's) reasonable service. And (the id) be not conformed to this world: but be ye (id, ego, and super-ego) transformed by the renewing of your mind (id, ego, and super-ego), that ye (ego) may prove what is that good, and acceptable, and perfect, will of God (Ego Eimi).