In other words, all the realism in Bell's theorem is introduced as part of Bell's definition and application of his local causality condition. And the introduction of the unit vector, c,
follows from the use of the local causality condition. Indeed, in La Nouvelle Cuisine (particularly section 9 entitled 'Locally explicable correlations'), Bell explicitly discusses the relation of c to the hidden variables, lambda, and the polarizer settings, a and b, and explicitly shows how they follow from the local causality condition. To summarize it, Bell first defines the 'principle of local causality' as follows:
"The direct causes (and effects) of events are near by, and even the indirect causes (and effects) are no further away than permitted by the velocity of light."
In fact, this definition is equivalent to the definition of relativistic causality, and one can readily see that it implicitly requires the usual notion of realism in special relativity (namely, spacetime
events, and their causes and effects) in its very formulation. Without any such notion of realism, I hope you can agree that there can be no principle of local causality.
Bell then defines a locally causal theory as follows:
"A theory will be said to be locally causal if the probabilities attached to values of 'local beables' ['beables' he defines as those entities in a theory which are, at least, tentatively, taken seriously, as corresponding to something real, and 'local beables' he defines as beables which are definitely associated with particular spacetime regions] in a spacetime region 1 are unaltered by specification of values of local beables in a spacelike separated region 2, when what happens in the backward light cone of 1 is already sufficiently specified, for example by a full specification of local beables in a spacetime region 3 [he then gives a figure illustrating this]."
You can clearly see that the local causality principle cannot apply to a theory without local beables. To spell it out, this means that the principle of local causality is not applicable to nonlocal beables,
nor a theory without beables of any kind.
Bell then shows how one might try to embed quantum mechanics into a locally causal theory. To do this, he starts with the description of a spacetime diagram (figure 6) in which region 1 contains the output counter A (=+1 or -1), along with the polarizer rotated to some angle a from some standard position, while region 2 contains the output counter B (=+1 or -1), along with the polarizer rotated to some angle b from some standard position which is parallel to the standard position of the polarizer rotated to a in region 1. He then continues:
"We consider a slice of space-time 3 earlier than the regions 1 and 2 and crossing both their backward light cones where they no longer overlap. In region 3 let c stand for the values of any number of other variables describing the experimental set-up, as admitted by ordinary quantum mechanics. And let lambda denote any number of hypothetical additional complementary variables needed to complete quantum mechanics in the way envisaged by EPR. Suppose that the c and lambda together give a complete specification of at least those parts of 3 blocking the two backward light cones."
From this consideration, he writes the joint probability for particular values A and B as follows:
{A, B|a, b, c, lambda} = {A|B, a, b, c, lambda} {B|a, b, c, lambda}
He then says, "Invoking local causality, and the assumed completeness of c and lambda in the relevant parts of region 3, we declare redundant certain of the conditional variables in the last expression, because they are at spacelike separation from the result in question. Then we have
{A, B|a, b, c, lambda} = {A|a, c, lambda} {B|b, c, lambda}.
Bell then states that this formula has the following interpretation: "It exhibits A and B as having no dependence on one another, nor on the settings of the remote polarizers (b and a respectively), but only on the local polarizers (a and b respectively)
and on the past causes, c and lambda. We can clearly refer to correlations which permit such factorization as 'locally explicable'. Very often such factorizability is taken as the starting point of the analysis. Here we have preferred to see it not as the formulation of 'local causality', but as a consequence thereof."
Bell then shows that this is the same local causality condition used in the derivation of the CSHS inequality, and which the predictions of quantum mechanics clearly violate. Hence, Bell concludes that quantum mechanics cannot be embedded in a locally causal theory.
And again, the variable c here is nothing but part of the specification of the experimental set-up (as allowed for by 'ordinary quantum mechanics'), just as are the polarizer settings a and b (in other words, a, b, and c are all local beables); and the introduction of c in the joint probability formula follows from the local causality condition, as part of the complete specification of
causes of the events in regions 1 and 2. So, again, there is no notion of realism in c that is any different than in a and b and what already follows from Bell's application of his principle of local causality.
So there you go, straight from the horses mouth. I hope you will have taken the time to carefully read through what I presented above, and to corroborate it for yourself by also reading (or re-reading) La Nouvelle Cuisine.