Author Harper Lee creates a clever reference to Dill's unusual abilities by comparing him to a "pocket Merlin"--a comparison to his small size (pocket relating to miniature) and the magical wizard in the legends of King Arthur. Jem and Scout have already discovered that Dill has many imaginative talents: He is a great storyteller and an actor of versatility with a head full of strange ideas--one that
... teemed with eccentric plans, strange longings, and quaint fancies. (Chapter 1)
It is Dill who comes up with the idea to "try to make him (Boo Radley) come out"; who bets Jem that he is not courageous enough to run up and touch the Radley House; and who will invent the children's next theatrical production, the Radley Game.