The author, a Kleinian psychiatrist, quotes other writers in pointing out that the patient feels less responsible for the contents of his dream than he does for his social behavior since the dream is unplanned. Dreams in group psychotherapy are less obscure and distorted than those produced during individual analysis since transference reactions in groups, as contrasted to individual therapy, are less anxiety producing because they are projected and shared. Many dreams denote the current state of the group transference. By clinical examples the author illustrates his contention that the group is a dynamic unity in the inner perception of the participants.