What is the Tao?

The Tao Te Ching is starting to give some very important concepts of life. I recall that one of our class QUESTions was, "Why is  the world unjust?". The Tao Te Ching answers that question very simply, and quite originally. Its answer was:
"Accept disgrace willingly. Accept misfortune as the human condition."(pg.15, Chapter 13). The book explained that accepting disgrace willingly meant accepting being unimportant, and you shouldn't worry about losing or gaining, but simply satisfy yourself with what you already have.  Accepting misfortune as the human condition meant that being human meant having misfortune, and that's all there is to it.
From what I am understanding, the Tao is something you can't feel, touch or hear, but it's there all the same. It mysteriously formed, and is standing alone and unchanging. According to the text, it is one of the four powers of the universe, and it follows what is natural. It tells you it is impossible to do anything to achieve it, so you have to do exactly the opposite: do nothing. One of the teachings the Tao has is, " Give up sainthood, renounce wisdom, and it will be a hundred times better for everyone. Give up learning and put an end to your troubles." (pg.21-22 Chapter 19-20). It was impressive to read this ,especially after reading the Essential Analects of Confucius, which were all about learning and gaining wisdom. The Tao says not to bother yourself with those troubles, and instead follow its natural flow. It says that you'll achieve great things by not acting. For example:
"...the wise embrace the one and set an example to all. Not putting on a display, they shine forth. Not justifying themselves, they are distinguished. Not boasting, they receive recognition. Not bragging, they never falter. They do not quarrel, so no one quarrels with them. Therefore, the ancients say, ´Yield and overcome´." (pg.24 Chapter22). It's interesting how effective not acting can be. This must be what the Tao is about: not acting is the way of nature.