I'm not very familiar with Jung, but like to share some thoughts on the influence of the psychoanalytic movement in general. If we assume for a moment that this movement - mainly through Freud and Jung - was inspired by "4D STS meddlers", this makes for some interesting connections.
First thing to notice is that the psychoanalytic movement seems to be closely related to the postmodernists and the '68 movement. Psychoanalysis was very 'hip' at the time in the liberation movement and among the postmodern intellectuals. (For example,
Jacques Lacan - who was a driving force behind the French intellectuals - was a psychoanalyst.)
I think this can be partly explained by the fact that part of what used to "drive" the postmodern movement (and still does) was a justified dissatisfaction with 19th century positivist science (a mode of thinking that still dominates science today), because in its materialism and rigidity, it does completely away with the richness of human conscious experience, spirituality, higher aims, the wonder and miracles of life and so on. Postmodernism counters this positivist mindset with radical subjectivism: there is no objective truth, everything is just in our heads.
Psychoanalysis offered kind of a solution to this problem of dissatisfaction with science, because in its original Freudian form, it offered a pseudo-science that seemed to incorporate the richness of human conscious (subjective) experience into the scientific framework: the hope was to turn our rich psychological experience into a science. It wasn't as cold and rigid and positivist as behaviorism, and at the same time pretended to be "scientific" - so no need to give up the scientific mentality completely. I think this partly explains why the postmodernists were so much into it - no need to "turn religious", nothing "higher" needed, materialism can prevail, even though we mistrust science. This is all pretty contradictory, but logic isn't what drives these ideological developments.
Now, Freud was a materialist and anti-religion (see his book
Civilization and Its Discontents). So in a sense, the psychoanalytic movement "contained" those dissatisfied with materialist science by offering them the illusion that you can maintain this materialist scientific mindset and yet still talk about the human experience in a prosaic way (Freud was also a superb writer, writing in a powerful, literary language). Again, nothing "higher", no religion needed. Materialism preserved, dissatisfaction with it "contained".
Enter Jung: With his "woo woo" approach, he alienated many people, driving them further into the Freudian corner/materialism in general. Others were attracted to this sort of thing with all the dangers that come with carelessly opening oneself up to higher realms. Maybe Jung, in a sense, "contained" those who otherwise would have gone the "bring together science and religion" route. It's also interesting to note that at least in Germany, Jung was accused by the left and many in the 60's revolution of being a Nazi - rightly or wrongly. This created further division and kicked out non-materialist thinking even further. Everything "mythological" was (and still is) seen by many as somewhat "Nazi". Even spirituality/religion itself! Anyway, I guess between Freud and Jung, many people got diverted/contained/neutralized.
There's another important aspect to the psychoanalytic movement. If you read
Healing developmental trauma or Stout's work or Dabrowski or George Simons or Jordan Peterson, you can sense a deep desire by those people to
help. They seem to
care. They write in plain language and it's very down to earth. Whereas Freud and Jung were much more the "rumbling intellectuals" - what is actually in their work that really, truly helps people in therapy??
Then, there's the Marxist thread: in a way, Marxism and psychoanalysis combined to produce the 68 movement and what we now call postmodernism (see
Freudo-Marxism). For example, there was the idea that the capitalist state suppresses the sexual drive of the "productive class", which supposedly leads to mass neurosis. The solution: sexual liberation - and that independently of all societal norms! The general idea by these Freudo-Marxist/postmodernist types was this: If communism is dead and we cannot change society via class struggle,
we can change the individuals using psychoanalytic theory! Now that's a creepy concept!
So it seems the psychoanalytic school is an important thread in the fabric of our current reality - in the greater context of things, it has led to the liberal/gender/nihilism madness we witness today. It also set back effective forms of counseling and sound psychological knowledge rooted in
objective experience for decades. It was a placebo for those dissatisfied with science. It helped suppress the marriage between science and religion/spirituality. It was used by authoritarian Marxist types to meddle with people's minds. It was used to justify the fight against sacred norms in society. It has shaped postmodern nihilism.
This is all very simplified and speculative of course. But maybe you
could see all these threads woven through 19th/20th century intellectual life as a powerful master plan put together by some higher forces to produce the insanity and nihilism we see today.