Each of us is living in perpetual stories. Not quite reality/truth, but certainly not necessarily untrue/fake, simply our inability to really experience & perceive objective reality. Even if we weren't limited so much by our physical senses (we're practically blind), our brains are pattern-recognition machines, they run on habit and confirmation of previously held ideas. The stories you tell, the stories you've believed, this is all programming, which decides the things that you notice and don't notice, the choices you make, the world you see as possible.
Part of the power of realizing that is that you can begin to make adjustments to your mind (your belief systems), and that will result in changes in your perception of reality, as well as manifesting a whole lot of things that you may never have even considered possible.
The Don Miguel Ruiz book I was referring to is called The Voice of Knowledge, and does an absolutely beautiful job of walking through some old spiritual teachings, the basics of human consciousness, and some good ways to practice non-judgment & non-attachment.