In this chapter, I interpret Plato’s Cratylus as an ideal comedy and argue that Plato employs the comedic technique of parody in order to expose rival methodologies as sources of ridiculous self-ignorance. Socrates’ extended parody of etymology shows that words cannot be a guide to the nature of being, since we have no reason to think that their analysis can teach us anything about reality. Etymology is, in short, a source of laughable self-ignorance because it provides its practitioners with the illusion of wisdom. Parody generally involves the use of an imitation that exaggerates or distorts some feature of the original, often in order to undermine its claim to authority. In the case of etymology, Plato’s parody not only exposes etymology as a false path to wisdom, but it also articulates specific criticisms of etymology regarding its methodology, its scope and its alleged systematicity. The function and purpose of the very long etymological section has proved highly puzzling to interpreters who are generally unsure what to make of it, and my account reveals the etymologies to be playing a central, and previously unnoticed, role in the overall argument of the dialogue. In the end, I assess the dialogue in light of the constraints on ideal comedy articulated in Chapter 1.