The famous Greek philosopher known for his allegory of the cave was Plato. In his work "The Republic," Plato uses this allegory to illustrate the difference between the world of appearances and the world of reality. The cave represents a false perception of reality, where individuals are chained and only see shadows. Plato argues that philosophical education can lead one to enlightenment, enabling individuals to perceive the true forms of existence beyond mere shadows. This allegory emphasizes the importance of knowledge in achieving understanding and truth in both philosophical and practical realms.