Romans 8-- Part 2

Taken by itself, this is probably the lowest point in chapter 8, because we know from the previous chapters that there is nothing "good" in anyone. After all, "No one is righteous, no, not one; no one understands; no one seeks for God." (Rom 3:10-11) So here Paul lays out what looks to me like a vicious cycle, "set your mind on the things of the flesh --> live according to the flesh" and whatever you are living you are thinking about. And so on and on it goes...

--> mind set on flesh --
|                                    |
|                                    |
-- live according to   <--
             flesh

For those who live according to the flesh set their minds on the things of the flesh, but those who live according to the Spirit set their minds on the things of the Spirit. For to set the mind on the flesh is death, but to set the mind on the Spirit is life and peace. For the mind that is set on the flesh is hostile to God, for it does not submit to God's law; indeed, it cannot. Those who are in the flesh cannot please God.
Romans 8:5-8

But Paul very quickly shifts to the language of grace with a "however", and shows us an alternate cycle. Because of the Spirit of God who dwells in believers, who has sealed us until we are fully delivered from our sin, we are able to set our minds on the things of the Spirit. We are able to pursue things that please God in a way that pleases Him! And that leads to LIFE and PEACE!!! =)

You, however, are not in the flesh but in the Spirit, if in fact the Spirit of God dwells in you. Anyone who does not have the Spirit of Christ does not belong to him. But if Christ is in you, although the body is dead because of sin, the Spirit is life because of righteousness. 
Romans 8:9-10