Jstraw is talking about the one book title we saw in The Long Con when Locke was rifling through looking for clues. It was An Occurrence at Owl Creek Bridge by Ambrose Bierce. It's really more of a short story. There's a guy who basically has a long drawn out dream as he's being hanged from a bridge. You'd made to think that he's escaped, but it turns out it was all in his head. Sort of like his life flashing before his eyes, except instead of seeing his life he sees his possible escape.
Jstraw is making the point that many have made this week about how this could be a possible easter egg from the writers that Lost is all a dream that one of the passengers is having as the plane crashes. But I doubt that they will do it at the end of this season, as it would pretty much end the show.
An interesting side note is that Ambrose Bierce was a famous author who went missing and was never found.
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