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When running bitcoind on testnet, can I put its configuration settings in a separate bitcoin.conf file from the "real" bitcoin.conf file? I would like to be able to run two nodes concurrently, one on the live network and one on the test network, each with its own configuration settings.

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By default bitcoind will look for the file bitcoin.conf in its datadir directory, whether running on testnet or mainnet. But you could use the -conf option when starting one or both of the daemons, to point it to a different file.

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No, it is currently not possible to have network specific configuration files. However there are currently open pull requests which enable such functionality.

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