WordPress Installs in Subdomains

Hello, quick noob question here.

I’d like to have two different WordPress installations in two different sub-domains of my site. One at http://example.com/blog and another at http://example.com/art. http://example.com would just be a simple HTML page with links to the two WordPress sites as well as other locations. Would there be anything wrong with this setup?

DreamHost can domains like http://blog.example.com and http://art.example.com I believe? But, I’d rather have it setup like above. Is this a better way to achieve what I want?


Also, http://example.com/blog and http://blog.example.com are both sub-domains, correct?

/blog is a folder

blog.example.com is a sub-domain.