Are there two sets of instructions within the person, one from his deepest nature — which includes and unfolds all in goodness and compassion — and the other, which is clever about "me" and "mine"?

Yes. There are two sets of instructions within the person. Goodness and compassion come from the very depth of one's being, whereas "me" and "mine" come from the surface. "Me" and "mine" cannot come from the very depths.