This paper uses primary sources to show that Wang Bi 王弼 engaged in a creative interpretation of the Laozi 老子 school of thought by shifting the focus from cosmology and cosmogony to ontology. In Laozi’s philosophy, the Way of Heaven and human affairs are linked together, with the metaphysical and the physical being inextricably tied together in a unified whole. Essence is the basis of function in the Laozi school, and Wang Bi basically follows Laozi’s position that essence and function are equally important. However, the relation between essence and function in Laozi’s thought not being explicit, Wang Bi attempted to make the relationship more obvious by introducing the notions of “emptiness as base” (以無為本 yi wu wei ben) and “emptiness as function” (以無為用yi wu wei yong). Modem scholars have for the most part focused on Wang Bi's ontological formulation of “emptiness as base” while overlooking his repeated insistence on “emptiness as function" in his discourse on the interconnectedness of base and function. The author argues that in Wang Bi’s formulation of the essence/function dichotomy the Laozi school acts as essence while the Huang-Lao 黃老 school serves as function. That the Huang-Lao school serves as function shows itself distinctively in two ways. First, in the Laozizhilue 老子指略, Wang Bi adopts the approach Sima Tan 司馬談 took in his Lunliujiayaozhi 論六家要旨 of “different approaches ending up in the same place” 異途同歸 and of drawing on the strengths of various schools while discarding their shortcomings. This connection puts these works in the mainstream of the development of the Huang-Lao school from the Han to the Wei dynasties. Secondly, in his Zhouyizhu 周易注, Wang Bi gives his principle of governance as “one principle, different duties” and offers several elaborations on that theme that closely resemble the political philosophy of the Huang-Lao school of thought.