Does anyone know this story? The first virtual reality story?

Who knows a book or short story, probably from the 60's or so, where a man is looking out a window at the cars going by, and he notices they are moving in a regular pattern. When he tries to investigate, robots come out and sedate him. When he wakes up he has forgotten what he saw and continues his fake life until one day he realizes again that everything is fake. The windows are really tv screens. He has contact with a woman via computer and he busts out of his home to go see her. He discovers that his house is in a deep underground bunker, and that the surface of the Earth is contaminated. Machines have created an artificial world for him so he doesn't go insane from knowing the truth. Eventually he reaches the woman, hoping to repopulate the Earth, only to find that she is a mutated, deformed person, incapable of reproduction. It's sort of a pre-virtual reality virtual reality story. And I find it hilarious that he meets a girl over the 'internet' that isn't quite who she claimed to be.