memories

Eugen Tarnow suggests that dreams are ever-present excitations of long-term memory, even during waking life. The strangeness of dreams is due to the format of long-term memory, reminiscent of Penfield & Rasmussen's findings that electrical excitations of the cortex give rise to experiences similar to dreams. During waking life an executive function interprets long-term memory consistent with reality checking. Tarnow's theory is a reworking of Freud's theory of dreams in which Freud's unconscious is replaced with the long-term memory system and Freud's "Dream Work" describes the structure of long-term memory.[51]
Dreams for strengthening of semantic memories
Location of hippocampus

A 2001 study showed evidence that illogical locations, characters, and dream flow may help the brain strengthen the linking and consolidation of semantic memories.[52] These conditions may occur because, during REM sleep, the flow of information between the hippocampus and neocortex is reduced.[53]

Increasing levels of the stress hormone cortisol late in sleep (often during REM sleep) cause this decreased communication. One stage of memory consolidation is the linking of distant but related memories. Payne and Nadal hypothesize these memories are then consolidated into a smooth narrative, similar to a process that happens when memories are created under stress.[54]
Dreams for removing excess sensory information

Robert (1886),[55] a physician from Hamburg, was the first who suggested that dreams are a need and that they have the function to erase (a) sensory impressions that were not fully worked up, and (b) ideas that were not fully developed during the day. By the dream work, incomplete material is either removed (suppressed) or deepened and included into memory. Robert's ideas were cited repeatedly by Freud in his Die Traumdeutung. Hughlings Jackson (1911) viewed that sleep serves to sweep away unnecessary memories and connections from the day.

This was revised in 1983 by Crick and Mitchison's "reverse learning" theory, which states that dreams are like the cleaning-up operations of computers when they are off-line, removing (suppressing) parasitic nodes and other "junk" from the mind during sleep.[56][57] However, the opposite view that dreaming has an information handling, memory-consolidating function (Hennevin and Leconte, 1971) is also common. Dreams are a result of the spontaneous firings of neural patterns while the brain is undergoing memory consolidation while sleeping.
Psychological theories of dreams
Dreams for testing and selecting mental schemas

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