I'm getting a lot of personal emails asking all kinds of questions - thanks everyone. Let me clarify what happens to us to see if this doesn't answer some questions.
When we have unresolved conflict, we tend to hold it in our soul's etheric body and our body's etheric body. All our past life memories are held in our soul's etheric body, and all the current life issues are held in our body's etheric body. If we hold onto conflict long enough (i.e. self-negating behavior, judgments, unresolved trauma, limiting core beliefs, etc), then it tends to show up in our physical body. Depending on the nature of our conflict, our genetics, and our inclinations from our ego/personality, including other lives, we can then create stress, disease, etc which shows up in certain ways. This could include procrastination, rejection, blame, guilt, love/hatred, the list goes on.
Now when we try to manifest anything, we use our combined body-soul energy. If we have a lot of conflict, then we tend to attract/create our conflict more than our heart's desire.
Why is that? Think of a stained glass window as a representation of conflict held in our etheric bodies. When sunlight (our energy) pours through the window (our energetic bodies), what gets reflected, or rather filtered through, is the same image that is in the window. An even better analogy is thinking of watching a movie in a movie theater. We only see what has been imprinted on the film and is being projected on a blank screen.
In our personal lives, what we are perceiving in the world is still colored/flavored by our conflict. Our incoming perception is biased, then we can project outward onto others based on our own internal conflict. The clearer we are internally, the more aligned we are with ourselves, then we stop projecting our incomplete conflict onto the world around us. The energy between our body and soul is not blocked anymore, so instead of re-creating our conflicts out into the world to help us see ourselves and resolve them, we are able to create/attract our real heart's desire.