The reason the Cartesian theatre is problematic is that it pushes the work of 'understanding' or 'processing' down the chain for the homonculus to sort out. So

The reason the Cartesian theatre is problematic is that it pushes the work of 'understanding' or 'processing' down the chain for the homonculus to sort out. So it's not so much the recursive thing-within-thing size difference, it's more that it's problematic because it dodges the hard bits.