The book seen in the episode
Gulliver's Travels is a real-life novel written by Jonathan Swift.
In the episode "The Short, Quick Summer," Arthur remembers that he read the novel over the summer. He then imagines a scene from it, where Gulliver is replaced with Arthur, and the Lilliputians are replaced by miniature versions of Binky.
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Miniature Binkys as the Lilliputians
Arthur as Gulliver