Movies like this that tread heavily into the surreal are fascinating to me. The moon (positive), the hole (negative or inverse of the moon), the man suddenly arising from the still mud (creation). I think that we can consider the movie as "real" or plausible if we consider that the characters arise from the writer's consciousness. "I'm going to kill them now (babysitter and her porn-star mother)" Lorenzo says as he arises from bed, then over to his computer where he starts writing. Why does the dog kill the little girl? Does the dog symbolize lust (note Lucia keeps saying, "I'm dying!" as she has sex with Lorenzo)? This is all in his head, I think, or in the computer, and finally in the manuscript displayed at the end.