This is pretty much it but it's larger than that. It's not just "magic", it's the whole nature of Tolkien's world. The world has a creator-all-powerful God and everybody in it knows it. He created all sentient creatures in it for his own entertainment. Everything that "is", is however he wants it to be and that's the nature of things, there's no Science to "discover". The world was flat like a thousand years ago until some men interfered with God's entertainment and he sank their island and reshaped the world round. Nobody doubts this too. There's many immortal beings out there you can ask firsthand (the Elves). Oh and those also know (or know someone who knows) the lesser gods that know the God. He's real.

Men in the world of Tolkien don't have any reason to "innovate" or even inquire about the world, really.