Above all, his development alienates him from the reality of the object, leaving him at the mercy of his subjective perceptions, which orient his consciousness to an archaic reality, although his lack of comparative judgment keeps him wholly unconscious of this fact. Actually he lives in a mythological world, where men, animals, locomotives, houses, rivers, and mountains appear either as benevolent deities or as malevolent demons. That they appear thus to him never enters his head, though that is just the effect they have on his judgments and actions.
Based on this description, particularly the italicized content, it sounds as if Jung is describing someone who is drunk or delusional. For sure, the latter tend to talk to or at times yell at objects as if these had some kind of invisible personal affect on the Si-dominant psychology, e.g., humanizing and then damning the lamp post for jumping in the way of the car and denting the front bumper. But for the most part, these effects remain inside the personal, not advertised to others in any blatant fashion. They arise behaviorally via defense mechanisms such as projection and displacement, and at times paranoia, thus hiding their true source from others but, most importantly, from the Si-dominant psychology.
Ne-inferior is the source not only of the madness but, indirectly, of the reason for the defense mechanisms. Si-dominance feeds into the controlling element in human psychology, either via personal relationships (husband/wife, mother/father, etc), or impersonal work relationships (supervisor, general, etc.). The method is to control others, and thus control the Ne-inferior, that chaotic destroyer lurking beneath the Si-dominant psychology. Chaos and control constantly battle within this psychological type, and control wins the day as long as the external world continues to obey the Si-dominant will (expressed via Te or Fe).
In general practice, the Si-dominant psychological takes personally things that weren’t intended to be taken personally. If you make a mistake on the job, thus violating the supervisor’s order, the ISTJ supervisor will act as if it was an affront to him or her personally. (This may or may not be intentional.) The ISFJ husband or wife will, consciously or unconsciously, interpret every action of the loved one as if it directly impacts the relationship, and moreover, had to have been either an intentional attack or compliment to the relationship, and thus, to the will and desire of the ISFJ psychology. There are no such things as slips or mistakes, either to the ISFJ or the ISTJ - you are to be punished for all your “attacks” and rewarded for all your “compliments,” no matter how unintentional you claim them to be.
The ISTJ/ISFJ psychological develops a black-and-white, all-or-nothing, perfectionistic view of reality, most severely with regard to the world around this type. But it is not without its share of exceptions for itself. These types do hold themselves to the highest of standards, at least insofar as they try to put on appearances to others. On the inside, however, they feel deeply imperfect because the symptoms of the Ne-inferior cannot be repressed entirely out of consciousness, and leak out in the form of rationalized personal exceptions to the high standards. The outer personality of the type is diametrically opposed to the inner personality. The bully, on the inside, may not have repressed gay desires, but rather has a fear of not living up to the high standards of the protective archetypal father-figure at the pinnacle of the male hierarchy (whether God the Father or your real father). This internal fear of not living up is then externalized as homophobia - a fear of appearing weak to others, a desire to see one’s external toughness mirrored in the fearing eyes of others - while on the inside subconsciously fearing to be psychologically exposed to the weakness that actually exists. Because no soul in the world is invulnerable to those deep feelings which are labeled “weak” and take the psychological form of the Ne-inferior. http://dlvr.it/BNyCpX