SH2 monsters were manifestations for james, and in SH3 its argued that the monsters are really order members. But regardless whether they exist or not in the games plot it doesn't change which ones look and sound more disturbing.
What one finds disturbing is subjective.
And you're still missing the point of pj's post. He wasn't talking about the rawshocks, he was talking about the real situations presented in the game that could actually happen in real life, like the death of a loved one and subsequent denial. These things are more frightening that evil undead babies because they can, and do, actually happen.
Or at least that's what I took from it; perhaps I'm off the mark. Either way I stand by that viewpoint.
No, you're pretty much right on the mark. That's exactly my point.