I feel like I have had a lot of dreams with things that were very strange. Like if any moment you paused the (dream)world and took a snapshot it would defenitly not look like real life to anyone but those who are blind. I have a lot of dreams where the world is really wierd seeming. Certainly there are some where all that seems to have happened is that I am at school and something happens strange (where probably the background could be grey for all I care), but there are some where certainly everything seems very wierd and this sort of scene would not be too strange in principal. I agree, with the general assesment of alpha-game-iness. Things can be wierd often absurd, and certainly they do not make sense. This scene, at first glance looks pretty polished and therefore implausible.
However, after looking at more than just the thumbnail image I noticed that I liked this picture rather a lot more because it is really bad in a lot of ways. It looks more polished than a dream, still, perhaps (but a dream seems sort of like a wierd self-polishing thing that cannot really be takes at one frame and evaluated), but it defenitly is flawed in many ways.
Therefore, too me, this picture seems like a fine generic representation of dreams. Certainly it is fantasy, but the principal of it is that it looks alright at first. But really it is pretty screwy.