need suggestion about embedded FS plan

[leeyang]

Flash:
Am29LV160B(bus wide 16 bit and 2M bytes)
2 banks of above flash and total is 4Mbytes.
Connected to MPC860 with x16 bus,and no
interleave.

I implemented my embedded system with
initrd+ramdisk before,and it did its work.
But that solution lost everything I made after
power down,such as add a user.And some other 
flaws like that I have to reside 4.5M ram 
for the fs(total mem only 16M).
So I want to try Mtd.

In fact,there is only a little fs need to
be 'SAVE',like /etc direcory,it take rooms less
than %1 of all flash size.And the main parts
/lib,/sbin,/bin...maybe never changed.
So I have an idea,
Put main parts of fs(/lib,/sbin....)on Cramfs
at one of the flash bank.
Put bootloader,kernel and need-save-fs(/etc) on
the other flash bank with jffs2 fs.

Is that possible?Sth ,I am not sure,is if no
/etc in root fs,Maybe it can not boot up!!!

And other problem:
In this case,I have 2 banks,Is that means
I have to set up at least 2 partitions,if use
them all with jffs2?
I have limited falsh size for 5 sectors
(64Kbytes each) GC per partitoins.

BTW:the util source files(esp.mkfs.jffs2)
I check out from cvs,seems can not compile,
Is there a stable one?

Great appreciation to any suggestion!

leeyang