Covenant Theology is rich and biblical. Sadly, it is no longer the majority view held amongst evangelicals. In fact, many Christians today would not know what covenant theology was, nor that there were alternative views other than what they had been taught.
What is covenant theology you may be asking? J.I. Packer answers the question briefly in a Publisher's Introduction for Herman Witsius' The Economy of the Covenants Between God and Man
. Packer writes:
What is covenant theology? The straightforward, if provocative answer to that question is that it is what is nowadays called a hermeneutic -- that is, a way of reading the whole Bible that is itself part of the overall interpretation of the Bible that it undergirds. A successful hermeneutic is a consistent interpretative procedure yielding a consistent understanding of Scripture in turn confirms the propriety of the procedure itself. Covenant theology is a case in point. It is a hermeneutic that forces itself upon every thoughtful Bible-reader who gets to the place, first, of reading, hearing, and digesting Holy Scripture as didactic instruction given through human agents by God himself, in person; second, of recognizing that what the God who speaks the Scriptures tells us about in their pages is his own sustained sovereign action in creation, providence, and grace; third, of discerning that in our salvation by grace God stands revealed as Father, Son and Holy Spirit, executing in tripersonal unity a single cooperative enterprise of raising sinners from the gutter of spiritual destitution to share Christ's glory for ever; and, fourth, of seeing that God-centered thought and life, springing responsively from a God-wrought change of heart that expresses itself spontaneously in grateful praise, is the essence of true knowledge of God. Once Christians have got this far, the covenant theology of the Scriptures is something that they can hardly miss.
If Packer is correct (which I believe he is) then why do some miss covenant theology? Packer continues:
Yet in one sense they can miss it: that is, by failing to focus on it, even when in general terms they are aware of its reality. God's covenant of grace in Scripture is one of those things that are too big to be easily seen, particularly when one's mind is programmed to look at something smaller. If you are hunting on a map of the Pacific for a particular Polynesian island, your eye will catch dozens of island names, however small they are printed, but the chances are you will never notice the large letters spelling PACIFIC OCEAN that straddle the map completely. Similarly, we may, and I think often do, study such realities as God's promises; faith: the plan of salvation; Jesus Christ the God-man, our prophet, priest and king; the church in both testaments, along with circumcision, passover, baptism, the Lord's Supper, the intricacies of Old Testament worship and the simplicities of its New Testament counterpart; the work of the Holy Spirit in believers; the nature and standards of Christian obedience in holiness and neighbour-love; prayer and communion with God: and many more such themes, without noticing that these relational realities are all covenantal in their very essence. As each Polynesian island is anchored in the Pacific, so each of the matters just mentioned is anchored in God's resolve to relate to his human creatures, and have us relate to him, in covenant -- which means, in the final analysis, a way for man to relate to God that reflects facets of the fellowship of the Son and the Spirit with the Father in the unity of the Godhead. From this, perhaps, we can begin to see how big and significant a thing the covenantal category is both in biblical teaching and in real life.
I'd encourage you to read all of J.I. Packers introduction, and if you're really hungry for a big read get Herman Witsius' The Economy of the Covenants Between God and Man. I'm still reading Witsius' work, so if you're simply after an overview you may be interested in Dr. C. Matthew McMahon's summary of his work.
) aptly puts it this way:
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