Just as in a mirage, in a dream, or in a visual illusion, so this entire universe is established as situated in the Self.

Three analogies converge: the mirage (marīcikā), the dream (svapna), and the visual illusion (graha). Each illustrates a different aspect of appearance. The mirage shows something that appears to be water but is actually dry earth—an illusion of substance where there is none. The dream shows something that seems real while it lasts but cannot withstand waking—an illusion of persistence. The visual illusion shows something that is seen but has no external correlate—an illusion of objectivity.

The universe combines all three: it appears to have substance where there is only Consciousness, it appears to persist when there are only discontinuous moments, and it appears objective when it is merely a subjective projection. But the conclusion is not pessimism or disillusionment; it is liberation. “Established as situated in the Self” (ātmasaṃstham avasthitam) means that appearance is not an error to be eliminated, but a manifestation of the Self that is free from error.

The Yoga Sūtra (II.5) defines avidyā as “mistaking the impure for the pure, the painful for the pleasant, the not-self for the self, and the impermanent for the permanent.” Correcting avidyā does not eliminate the world; it eliminates these four confusions. The world continues to appear—just as the mirage continues to appear even after knowing it is dry earth—but it is no longer taken for water. The jīvanmukta lives in a world that remains a mirage, but it is a mirage that no longer tempts one to drink.