Windows XP or Windows 7?

You can only install windows 7 or 8 in a boot camped partition on the newest mac computers. If you need to have win xp you will need to install that into a virtual machine.

The latest MacBook that will run Windows XP are the mid 2010 models. Windows 7 or Windows 8 are your options. If it was me I would choose Windows 7.

http://support.apple.com/kb/HT5634

Windows 7. You will get the best performance of your Mac because you will be able to use all the performance that your processor provides and you will be able to use all the RAM you have on the computer. Note that you can only install a 32-bit Windows XP on your computer, and it won't detect more than 4 GB of memory.

If you want all the steps to install Windows in Boot Camp, see > http://manuals.info.apple.com/en_US/boot_camp_install-setup_10.8.pdf

You will get the best performance in Boot Camp, but depending on your uses, you may consider the use of the virtual machine. Read > https://discussions.apple.com/docs/DOC-3321

Yes VMware Fusion but that is not a dual boot system. The fusion program runs on mac os x and it emulates computer hardware allowing you to install many different operating system in what is called a virtual machine, software that mimics real hardware.

With VMware Fusion or the other virtual machine software programs available, Oracle virtualbox and Parallels parallels desktop, you can install many different version of windows and linux and even some versions of apple mac os x.

For those considering virtual machines in regard to Windows XP, its worth noting that while they may be useful for some applications, only a pure boot of Windows XP will allow full utilization of the machine's hardware for older Windows XP games.

Running an OS on top of another OS is by necessity slower that running one OS by itself.

Windows 7 Pro and Ultimate will run XP programs in Win 7, or there is a XP virtualization from Microsoft.

http://windows.microsoft.com/is-IS/windows7/install-and-use-windows-xp-mode-in-w indows-7

Again it's not going to give top notch performance, but acceptable for most programs.