It does sound a lot like MERP/Rolemaster, which scores it high marks in my book, anyway.
[hijack][pimp]I wish I had access to this while I was working on the Spell Design system for Heroes of High Favor: ELVES. (I suppose I should have asked...)
I am eager to compare the two, though they are clearly very different beasts. I have not designed a new system so much as deconstructed the core spells to find the method behind the madness. It was, for most of the design process, a complete nightmare, but like cracking a good math problem it eventually started to make sense. As a result the spell templates in Elves don't deviate from the core spells, which may or may not be a good thing... YMMV.[/pimp][/hijack]
I'd like to compare notes with CZ sometime and see if we went through the same difficulties.
I will definitely be picking up Elements of Magic. I am torn between running a game with a free-wheeling magic system like this, or one on the other end of the spectrum that makes spellcasting a rare and burdensome thing (like CoC).
Wulf