Daydreams is really three itty-bitty Buster Keaton shorts disguised as one regular-sized short. That said, the three small shorts are pretty funny.
The premise is that Buster comes to his girlfriend's (Renee Adoree) house to ask her father (Joe Keaton, Buster's real-life dad) for the girl's hand in marriage. The father is reluctant to give her up, so Buster promises that he will move to the city and "make good." (Make good what is never quite established.)
Most of the movie's remainder is a series of vignettes wherein Buster sends a lofty-sounding letter to his girlfriend telling her of his worldly exploits, she imagines him doing something grand, and then we end up seeing the reality of his situation. (Example: Buster writes that he is cleaning up on Wall Street; the girl daydreams that Buster is a wealthy stockbroker; in fact, he's a street cleaner.)
Again, this does make for some pretty funny spot gags. However, taken in the context of Buster's career, Daydreams is rather bizarre. For one thing, Daydreams was released eight months after Keaton's superlative short Cops and pretty much plays like a diluted version of the latter movie, right down to its premise. Secondly, unlike the other movie, Daydreams makes a Buster-like giant leap in order to accommodate yet another climax in which Buster gets chased by every cop in town. (I realize that cops-on-the-beat were far more prevalent in the 1920's than they are today; still, how many precincts had the resources to devote to a poor schnook who committed, at most, maybe a misdemeanor?)
Also in retrospect, it's kind of hard to sympathize with Buster's "intended" as played by Renee Adoree. After seeing Sybil Seely taking a pro-active and pro-Buster stance in many Keaton comedies, it's difficult to care about Renee sitting at home and waiting to moon and spoon over Buster's letters (especially when she rejects him at the end after he has literally knocked himself out for her).
This movie has the iconic scene of Buster getting stuck in a riverboat paddle as though he was a hamster in an exercise wheel -- symbolic, perhaps, of Keaton trying for profundity but just spinning his wheels.
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