Waking life vs. Dream life

I was thinking about what somebody said to me about dreams. They said that dreams are where we dwell in the 'super conscious' (subconscious). The idea is that in the dream world, existence is what it actually is, and not convoluted the way waking life can be. In waking life we have a tendency to mask our true natures with baggage and shields and thangs that we build up and develop around ourselves. The dream life allows the spirit to roam free, independent of this earth baggage. The realm of infinite possibility is present in this space should we choose it. But the invitation I give is to allow yourself to see your truth in your dreams, in your super consciousness.

An old friend of mine used to say his dreams were exactly like his waking life, he would go to work, talk to people, drive to normal places, etc. To me that means this person is in direct communication with himself and his growth happens in a gradual, straightforward and dependable way. And now that I can see what he is doing with his life, his powers of actualization seem pretty strong. His life is more 'fantastic' or 'dreamlike' in some ways, I imagine, than many other mindsets I can think of.

Not to say that everyone's dreams should be this way, I just think that noticing the nature of the reality in the superconscious could be a helpful tool. I've been noticing personally that in my dreams my relationships with people are quite different than they are in the real world. They are more authentic expressions of how I actually feel. So there is this aspect of being tempted to think that this is all actually going on for myself AND the other person involved because it feels so real (you know the baby with the one eyebrow off the Simpsons? I have that character in my dreams), but really what I realize is it is all me and my true feelings coming out. This goes back to the idealizing vs. reality of humans I was talking about earlier.

So I guess the question I am putting forward is what is the relationship between the earth self and the realm of possibility in the dream self, and how does this relationship affect earth reality?