I personally use SubSonic as an ORM. It supports both SQL-Server and MySQL, as well as SQLite. Creating a database is always a tricky question, but you usually don't run it often. I chose SQLite as it is very portable and should also be available when I use a port using Mono. TSQL (SQL-Server) is a Windows-only product and is not portable. My databases will also not be very large (<100 Mb), and this may also be required for your choice.
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