The essence of the quote reflects on the nature of literature and its relationship with reality. It suggests that despite the significance of renowned texts, they ultimately stem from dreams and imaginative constructs rather than direct representations of real life. This perspective implies that every written work, no matter how esteemed, is a creation of human thought and aspiration.

In this view, literature serves as a bridge between our dreams and our understanding of existence, blurring the lines between the real and the imagined. The reminder that all literature is based on dreams can undermine the authority of these texts, yet it also highlights the transformative power of words in shaping our perceptions and experiences. This duality invites readers to appreciate the imaginative aspects of literature while recognizing its detachment from everyday reality.