Reality Loops

I'm helping a man up from one reality-level to a higher one. From the viewpoint of the higher reality, lower levels are dreams or fiction. But on the next level, that "reality" sinks to a dream.
The strange thing is, we find some loops--a mere story within one world can itself contain a story containing the actual world that contains it--not just a story-version of the primary world, but the world itself. That is, two worlds can each be a dream or fiction to the other!
And, going the other way, you could sit in either world and discover your life is just a dream or story in a larger transcendent meta-reality, yet the same is true for observers up there--your world looks like reality.
Such paradoxes happen because worlds aren't like trees with trunks and branches and twigs--they're more like rooms linked by many doors and windows. A story or dream may seem like a mere subset or story within our world, but the view through a window is not contained in the window. And the world of a dream is not, despite our habitual phrasing, in the dream. Your dream is just a dream, yet the world your dream it takes place in may be a whole other universe full of real, non-dream people...

Where they dream about you.