I completely agree with John.  I have also used both Parallels and Fusion and
eventually abandoned them for bootcamp primarily because of the constant
upgrade costs every time there was a system upgrade (either OSX or Windows). 
I use windows infrequently and primarily for code testing and it wasn't
really a problem doing the full on boot.  

Then one day one of our IT guys mentioned virtualbox.  Theses guys normally
treat Mac software like it's the plague so I was very surprised to find out
about this from them. I was very pleasantly surprised.  It works great and
it's free.  I actually like it better than both Parallels and Fusion. 

Unfortunately, like John, I've not tried to emulate mac inside a mac. 
Hasn't been a need of mine but I recall them discussing it in the virtuabox
instruction.  As I recall the biggest issue being the legality of the
licensing.



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