The Topic/Main Idea/Subject
I believe it is Irony but I'm not completely sure.
Reality would be my guess. Looking in a mirror gives you a look a yourself and what you've become, making it the reality.
The similarity between The story of Baba Abdalla and The magic prison is that the characters in both are blinded, sort of. Baba Abdalla gets blinded because of his greediness, and prince Harweda, of the second story, gets locked in a house where the windows shrink when he stares himself too much at a mirror, leaving him completely in the darkness, unable to see. The windows grow again when he starts caring for something else besides him, a bird, and so he can see again and is liberated when he learns the lesson and stops being selfish. In The Story of Baba Abdalla, he remains blind.
B: Personification. The example is personifying, or giving human traits to, America.