EXACTLY!!!
I sometimes think of my life in 2 main epochs... BP and AP... Before Psychedelics and After Psychedelics. After my very first strong-enough-to-matter psychedelic experience, the "living in a dream" concept that everything we believe is defined by our subjective perceptions and thus we are in a real sense "living in a dream" was obvious to me.
After that, I could never go back. I am now forever aware that EVERYTHING I perceive is essentially a very complex detailed cartoon constructed by certain areas of my brain for the purpose of my survival and spreading of my genes. But not necessarily a completely accurate representation of "reality", whatever the hell that might be... :D
yeah i always had a much more cynical interpretation of it. more like i used to live life in 320 kbps but since drug use has destroyed a number of neurons that contribute to the transfer of informationto my brain i now live in 280 kbps. since my brain is still expecting to recieve 320 kbps, my brain just makes up the extra 40 kbps sortof like a phantom limb but a phantom neuron.
i always just assumed it had to do with dammage to the GABA or Acetylcholine neurotransmission systems on top of dammage to one or all of the big 4 systems(Ep, NE, SE, & DO)
but since in reality, you are creating the signals, you can choose to add in or create what ever you want using reality as a your canvas.
so your living your life, but with the control of these phantom nervous signals, you can either enhance or agument any of the input data that is used to create your "dreamspace."
i always thought of it as dangerous though, to refer to it as a "dream," remembering the deranged man from the Cowboy Bebop movie who was "entrapped within a dream" and what happened to him.
i do however wonder what role, IF ANY, octopamine might play in situations like this. according to sources from wikipedia, "In vertebrates, octopamine replaces norepinephrine in sympathetic neurons with chronic use of monoamine oxidase inhibitors." Being that many drugs happen to be monoamine oxidase inhibitors, it is possible drug use may cause NE to be replaced by octopamine.
http://en.wikipedia.org/wiki/Octopamine