Can I use the same iTunes library on 2 macs?

I have 2 macbooks. The audio files are stored on the external harddrive.
Does each macbook has to have its own library or can they be using the same library -- and always display the same playlists, etc.?
How do I do that?
Thanks,
Sasi

Keep all the files for the library on the ext HD. This includes the Album Art, iTunes Library file, .xml files etc.
This way any time you are opening the library it will have all the files available. Hold down the 'option' key when launching iTunes and direct the Mac to the ext HD.
MJ

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