I should like to put my 2¢ in here, since I've often heard the term "database" to be 
used inappropriately in conversation, even by those persons "working in the field."  
In Oracle, you have one Oracle database, typically.  Within this database, you have 
one or more instances that live wholly on their own, and can only be accessed by one 
another via dblinks (the "db" starts the confusion).  Within each instance, you have 
one or more schemas, logically structured to match what it is you're doing.

Similarly, MySQL has "databases" that are created, they're not really databases.  They 
could be likened to Oracle's concept of instances.  They could be connected to one 
another without a whole lot of difficulty (if I am remembering correctly).

I think the key here is that you should have one database (Oracle, SQL Server, MySQL, 
PostgreSQL, Informix, whatever).  Within this database you can have instances of 
project data.  This way, the data isn't commingled or lost in a shuffle of hundreds of 
tables, but theoretically can be accessed from one app to the next.

To give you an example, we have in our offices one Oracle database.  That database 
holds roughly 12+ instances that have little (most times nothing) to do with one 
another.

Hope this helps...

Lincoln
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