Problem with multiple users sharing a single library

We have a family iMac. I am the only one with Admin privileges. I want to share my iTunes music folder with the other users so we don't end up replicating all the MP3 files. I put the music folder in my Public directory and the other users can see it fine. However, when my daughter bought a song from the iTunes store, we got a "insufficient privileges" error message. I checked and confirmed that she has Read/Write access to my public folder, and to the iTunes Music folder under it - I even tried "Applying to All Enclosed Items". It appears that despite this, she is blcoked from creating a new file or directory in my Public folder. When I changed the setting on her iTunes to point to a directory in her User space, the iTunes purchase went through fine. But now her library is split between what's in my Public folder and what's in her Music/iTunes folder.
Is there a way to fix this so we can continue to use a single shared location for all MPS files? Someone suggested that I use my Shared folder instead; I don't know if that's a better or worse option.
Thanks for any suggestions.
Message was edited by: Peter O'Riordan

can you share across two computers and both access the same iTunes library and listen to music from that library at the same time?

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