Currently, iLife 08 and newer can create books, although I expect iLife 08 support to drop off soon.
System Requirements for iLife 08 (per http://support.apple.com/kb/HT1010):
Mac computer with an Intel, PowerPC G5, or PowerPC G4 processor
- iMovie ’08 requires a Mac computer with an Intel processor, a Power Mac G5 (dual 2.0 GHz or faster), or an iMac G5 (1.9 GHz or faster)
- iDVD ’08 requires 733MHz or faster processor
512 MB of RAM; 1 GB recommended; high-definition video requires at least 1 GB of RAM
3 GB of available disk space
DVD drive required for installation
In case you're curious, here's iLife 09 (per http://support.apple.com/kb/HT3876):
- Mac computer with an Intel, PowerPC G5, or PowerPC G4 (867MHz or faster) processor.
- iMovie requires an Intel-based Mac, Power Mac G5 (dual 2.0GHz or faster), or iMac G5 (1.9GHz or faster).
- GarageBand Learn to Play requires an Intel-based Mac with a dual-core processor or better.
- 512MB of RAM; 1GB recommended. High-definition video requires at least 1GB of RAM.
- Approximately 4GB of available disk space.
- DVD drive required for installation.
- Mac OS X v10.5.6 or later.
- QuickTime 7.5.5 or later (included).
- AVCHD video requires a Mac with an Intel Core Duo processor or better. Visit iMovie ’09 Camcorder Support for details on digital video device and format support.
- 24-bit recording in GarageBand requires a Mac OS X-compatible audio interface with support for 24-bit audio. Please consult the owner’s manual or manufacturer directly for audio device specifications and compatibility.
- Some features require Internet access.
- iPhoto print products are available in the U.S., Canada, Japan, and select countries in Europe and Asia Pacific.
- GarageBand Artist Lessons are sold separately and are available directly through the GarageBand Lesson Store in select countries.
- Burning DVDs requires an Apple SuperDrive or compatible third-party DVD burner.
- Flickr service is available only in select countries.
Hope this helps!!