Falling
Fear of falling can illustrate the fact that one has lost touch with reality in some aspect of life or personality, the "down-to-earth," and risks (or would benefit from) an awakening. (See also Flyging.) Jung suggests that dreams with these themes occur in people who have an overly high opinion of themselves or make grand, unrealistic plans. Dreaming of hitting the ground can be an illustration of a shocking encounter with reality.
Inflation
Climbing high or being high above the ground is risky (cf. Height). It can be interpreted as hubris, which, according to Proverbs (16:18), goes before a fall. Falls as punishment recur in the fall of Lucifer from heaven, the arrogant Icarus's fall, and many medieval paintings illustrate how sinners and the damned helplessly fall into hell.
At the same time, striving upwards is necessary to reach higher goals. Those who risk nothing gain nothing; the "inflationary" upward striving is not negative in itself. (Compare Ladder.) A fall that is not devastating does not mean the end of the story; one simply has to climb up again. The fall may be part of the life rhythm up-down-up-down.
Control
To fall means losing control. In this way, a person with a need for control who lives in fear of losing it may often dream of the risk of falling.
This also includes the image of "letting go," which has a positive connotation. Perhaps in some respect, one needs to let go and allow oneself to fall. People who do so (consciously) in dreams, as part of their development, often find that the fall is completely harmless; for example, much lower than they feared.
Falling as a loss of ego-control is illustrated by expressions such as "to fall asleep" or "fall in love"; more concretely in the expression "to have the rug pulled out from under" someone, causing a person who thought he or she were firmly grounded to suddenly fall helplessly to the ground.
Decline
Dreams about falling can also symbolize a "decline," a fear or experience of falling down a social ladder or becoming morally "damned."