The SELinux coloring book [pdf]
people.redhat.com
people.redhat.com
Reminded me slightly of facls under Solaris, just far more elaborate. At least at the time of RHEL5 -- the tools around it were just too rough for even intermediate admins to manage (I have not revisited since then).
Even then, if I really was concerned about compartmentalization, might I turn to containers and/or virtualization, just for the simplicity of it.
Nowadays, it's mostly just another thing to check disabled when installing RHEL -- very few external apps/packages seem to understand it, and predicting all the interactions and establishing labels/types is just a bridge too far. Yes, I know you can use selective mode, or even permissive then build policies based on the audit logs, and If I ran a NSA storage subsystem, I might be bothered to.. but for most folks, this level of scrutiny is too cumbersome.
In any case it sounds like libvirtd can automatically assign a unique category to each VM guest's resources in a way which inhibits guest-to-guest interactions by default.
Edit:
More Info: https://www.redhat.com/archives/libvir-list/2008-August/msg0...
You get this out of the box with SELinux. It's either zero extra work or you tick a box.
http://www.amazon.com/Bunnys-Guide-ActiveX-Carlton-Egremont/...
http://blog.linuxgrrl.com/2014/04/16/the-selinux-coloring-bo...