I did this by ear; hopefully it's correct.  If you want to play the version from 
his album, "Acoustic," put a capo on the second fret.

Possibly uncommon chord shapes (I only put F in there so you didn't use the bar chord).

G/D (4x3121@7)   F (133211@1)     Am/G (302210@1)   D7/F# (200212@1)   Fm7 (131141@1)    C7/G   
e3 (022000@1)    e1 (022000@1)    e0 (022000@1)     e2 (022000@1)      e1 (022000@1)     e0 (022000@1)b3 (x24432@1)    b1 (x24432@1)    b1 (x24432@1)     b1 (x24432@1)      b4 (x24432@1)     b1 (x24432@1)g4 (355333@1)    g2 (355333@1)    gx (355333@1)     g2 (355333@1)      g1 (355333@1)     g3 (355333@1)d5 (xx0231@1)    d3 (xx0231@1)    d2 (xx0231@1)     d0 (xx0231@1)      d1 (xx0231@1)     d2 (xx0231@1)a5 (x02210@1)    ax (x02210@1)    a0 (x02210@1)     ax (x02210@1)      a3 (x02210@1)     ax (x02210@1)Ex (022100@1)    Ex (022100@1)    E3 (022100@1)     E2 (022100@1)      E1 (022100@1)     E3 (022100@1)
Watching the Wheels

C/G (3x555x@1)                 Fmaj7/C       C/GPeople (3x555x@1)say I'm crazy doing what I'm doing
                                      Fmaj7/C           C/GWell (3x555x@1)they give me all kinds of warnings to save me from ruin
Fmaj7/C         Dm (xx0231@1)               GWhen (320003@1)I say that I'm o.k. well they look at me kind of strange
Fmaj7/C           Dm (xx0231@1)             GSurely (320003@1)you're not happy now you no longer play the game

People say I'm lazy dreaming my life away
Well they give me all kinds of advice designed to enlighten me
When I tell them that I'm doing fine watching shadows on the wall
Don't you miss the big time boy you're no longer on the ball

Fmaj7/C  G/D (4x3121@7)                     C (x32010@1)                 AmI'm (x02210@1)just sitting here watching the wheels go round and round
Fmaj7/C  Dm (xx0231@1)                      FI (133211@1)really love to watch them roll
G (320003@1)                     Am (x02210@1)      Am/G (302210@1) D7/F# (200212@1) FNo (133211@1)longer riding on the merry-go-round
       Fm7 (131141@1)            C/G (3x555x@1)Fmaj7/C  C/GI (3x555x@1)just had to let it go

Ah, people asking questions lost in confusion
Well I tell them there's no problem, only solutions
Well they shake their heads and they look at me as if I've lost my mind
I tell them there's no hurry
I'm just sitting here doing time

I'm just sitting here watching the wheels go round and round
I really love to watch them roll
No longer riding on the merry-go-round
                          C/G (3x555x@1)D7/F# (200212@1)FI (133211@1)just had to let it go
       Fm7 (131141@1)              C/G (3x555x@1)D7/F# (200212@1)F (133211@1)                 
I just had to let it go
       Fm7 (131141@1)              C7/G
I just had to let it go