Even by common wisdom, there seem to be both people and objects in my dream that are outside myself, but clearly they were created in myself and are part of me, they are mental constructs in my own brain.

Kurzweil is pointing to the introspective insight that, in dreaming, the mind can generate an apparently external world—people, objects, and events that feel “out there,” yet are produced entirely by the brain. The remark underscores a constructivist view of perception: what we experience as reality is mediated (and in dreams, wholly fabricated) by mental models. In Kurzweil’s broader intellectual orbit—AI, cognition, and the engineering of mind—this kind of observation often functions as an analogy for how the brain simulates the world, suggesting that consciousness and “external” experience may be explainable in computational or representational terms rather than requiring non-material causes.