REM – Rapid eye movement
The mind is always in conscious state when we are awake. When we go to sleep, then we enter the non-REM stage of the sleep known as Non-REM sleep. Then we enter the REM sleep, which is the deep state of sleep.
The level of neurotransmitter chemical levels like norepinephrone and serotonon reduces as we go from non-REM to REM sleep stage.
Dream which you clearly remember and in some degree the dream which you can manipulate is termed as lucid dream.
Creativity forms when we are trying to fit the information we already have in some new and unexplored way.