In MT5 (I'm using RC1, Pro), a single "website" contains multiple "blogs." But is it possible to have a "blog" that's not a part of a website?
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Nope, this is a feature of MT5. Websites do not have to publish anything. Blogs can publish to the root of a website.
Here's my workaround:
http://tobeythorn.com/2009/12/Movable-Type-5-How-to-make-a-blog-your-homepage.html
I'm having this same problem with 5.01. Before, my blog was the website. Now I have an unwanted website and a blog. I accidentally published the website so tobey's solution doesn't work for me. I have been playing around with it for a couple of hours and am in need for some help. Thanks.