I think it's fairly common usage. As I'm sure you know English uses any number of words interchangeably to name certain things. But you may still be right that it was an intentional usage -- I really wouldn't put anything past him given the "poetry" of much of this novel.
I think there must have been some significance to the dreams -- even if just to contrast with the "nightmare" of waking life -- but I think it may have slipped right past me.
Off topic but I think there are more "dead limbs" in the novel I'm currently reading - The March by E. L. Doctorow (about the U.S. Civil war where amputations were constant).
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