The big banks tend to be those behind the federal reserve and use it to limit or destroy the smaller banks. just look at the recent crisis. Many smaller banks went under ( or were forced out or absorbed by the larger banks ).
This is how the large banks retain their power. A fed driven crisis every so often thins the herd of the competition and favors the large banks.
Being worried about this happening without the Fed is incongruent as this already happens now.
often what is needed is a severe pull in the opposite direction for a correction to happen and find the proper balance in the middle certainly there is more work to be done on Ron Pauls ideas.., but without using them as a starting point, true reform will never happen.
It returns the control of the economy to the people and banks may once again become an actual place to hold real, as apposed to virtual, money. Plastic cards could be account cards where funds of gold or silver are verified by the bank.
Banks would be trimmed back to their original purpose instead of as mini Fed creating money out of thin air. Credit might be tight for a while and the strength of the dollar would force a stop to the race to the bottom currency devaluation current currency war. Confusion would be global for a while until all central banks were inline or eliminated with people choosing real money instead of paper virtual money. Interest rates would be set by market demand which would more than likely increase substantially benefiting savers and penalizing speculators. This bill alone would turn thing upside down which is what is needed..
Welcome to Anthology of Money!