It's all he's ever known. His whole life has been on screen, so when you don't know any better you just assume that's how life is. It's easy to ask how the hell he didn't figure it out when you're looking at it in context.

[ Daniel shrugs, casual. ]

Here, the American Dream aspect is the same; things are a little too nice to try and keep you ignorant, but.. it's missing the life, you know? The NPCs, the people, the dirt. We have the capacity to imagine something like that, the movie set or the idea that whoever's responsible for this is surveying us, but none of the tactics to get out of it. He ends up trying to drive out of town and gets stopped, or there are barricades. If I remember right he ends up tunnelling under the city and sailing away in a boat till he gets stopped by an invisible wall. [ Squint. ] Is there even any bodies of water here?