I've found that to Eastern "philosophies", and I use the term loosely, reflection on the natural way of things is what leads to understanding or enlightenment. When I say things I include life, the natural world, the connectivity between all things -- really I've seen very little classification going on in either Buddhism or Taoism. Which may be the entire point; it's when we strive for answers solely with a rational, logical mind that labels and minutiae become important.

In essence, I think you answered your own question. In Western thought we're concerned with the question "why?", thus we illustrate a difference between "me" and "I".

This initially seemed like a horrible paradox to me at first. Reading the Tao Te Ching helped me get a pretty good grasp, though. Here's the first passage, as translated by Charles Muller.

The Tao that can be followed is not the eternal Tao.
The name that can be named is not the eternal name.
The nameless is the origin of heaven and earth
While naming is the origin of the myriad things.
Therefore, always desireless, you see the mystery
Ever desiring, you see the manifestations.
These two are the same--
When they appear they are named differently.

This sameness is the mystery,
Mystery within mystery;

The door to all marvels.

http://www.human.toyogakuen-u.ac.jp/~acmuller/contao/laotzu.htm