The English word "Taoism" is used to translate the Chinese terms Daojiao (道教) and Daojia (道家). The character Tao 道 (or Dao, depending on the Romanisation scheme one prefers) literally means "path" or "way", but in Chinese religion and philosophy has taken on more abstract meanings. The compound Daojiao refers to Daoism as a religion; Daojia refers to the activity of scholars in their studies. It must be noted that this distinction is itself controversial and fraught with hermeneutic difficulty.
Much uncertainty exists over the meaning of "Taoism". In some countries and contexts (for example, the national "Taoism" organisations of China and Taiwan), the label has come to be applied to the Chinese folk religion, which would otherwise not have a readily recognisable English name. However many, if not most, of its practitioners would not recognise "Taoism" (in any language) as the name of their religion. Moreover, the several forms of what we might call "elite" or "organised" Taoism often distinguish their ritual activities from those of the folk religion, which some professional "Taoists" (Daoshi) tend to view as debased.
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Taoism :: Religion and Spirituality

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