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That physical conditions produce many dreams is indisputable. But not all dreams. That many dreams are merely echoes of happenings during the past day or two is also indisputable. But they have passed into the sphere of memories--that is, mental events, ideas which are non-physical things. Mind can affect brain, brain can affect mind: they are separate things.

-- Notebooks Category 19: The Reign of Relativity > Chapter 3 : The States of Consciousness > # 81