No, I don't know George, but I remember Tom Hodge once telling me that Paul had taught him the CAGED system. The basics are, as I recall, something like this:

Start, say, with a C chord. The highest fret you are fingering is the third fret. Make a barre at that fret, and then make the chord form that's next in the C-A-G-E-D sequence, in other words, an A chord form: you've just made a C chord again. Now barre the 5th fret and make the G form--again, it's a C chord. Same way up the neck, each time making the same chord in a different position.

If you start with G, say, you would barre the third fret and make the E chord form--voila, a G chord again, the usual "barre G". Barre (or half-barre) the 5th and make the D position, and you have a G chord again. The point of the C-A-G-E-D mnemonic is to remind you of which chord form will get you the chord you want at which place on the neck.

Of course, I'm nowhere near being a good enough guitarist to make much use of this system...but at least this should clarify how it works for those who are. Or else it has gotten everybody thoroughly confused!

Aloha,
Mark