RFID/alternatives for range checking

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dfx

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Hi there,
Not really new on here, used to visit alot ages ago as a kid under another name. Anyway, time flies and I've grown to be your typical first year undergrad at university.
So I want to develop a 2 component device that can be used to check the presence of an object. It would periodically check for its presence (say by sending a signal) and if the "tag" isn't detected it would give some output yet undecided - say an LED comes on. But the crux of the matter is the actual detection. I've only got a brief overview of RFID and it seems ideal. Tags are very flexible which is necessary for my device but the only problem is the readers are impractical. I need the reader to be miniature - say the size of an eraser. Plus what kind of power requirement would be needed? I realize it depends on whether the tags are active/passive but realistically how long would a certain battery last say.
I think this entire concept is possible (definitely a miniature reader) but the only reason it hasn't yet been developed is because RFID has so far been used in a data transfer context. Alternatively are there far simpler RF options that I'm unaware of for this particular application? I mean it does seem on the face of it an extremely simple and almost trivial problem. One of the reasons RFID appeals to me is because the "tags" have to be identifiable in some sense - ie a tag on another object within the vicinity shouldn't be confused for the actual one it's meant to "track". Any feedback/advice/brainstorming very much appreciated. Thanks
 
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