We theorize that the major problems of dairy are lactose, casein, and the pasteurization process. If you just took the milk fat then you wouldn't have that problem, so goes the theory. I still wouldn't recommend it to anyone with an auto-immune issue, but any gut-irritating impact might become negligible in the case of a healthy gut. I know when I eat bread I go into convulsions, when I eat chickpeas I get grumbley, but ghee is fine.

Ghee is butter minus the dairy protein leaving the fat......fat is good for fitness as long as its not omega 6 fat. And with Ghee it aint!

Ghee is, depending on what particular paleo variant you are inclined to. Some, such as PaNu, suggest that animal fats are ideal regardless of availability at paleolithic times. Other people like butter because it is (mostly) saturated fat.

Maybe look PaNu and Mark's Daily Apple for what they have on fats.

http://www.paleonu.com/

http://www.marksdailyapple.com/

I think of paleo as being about ratios rather than hard and fast rules. I eat meat and fat and veggies and try and keep my carb intake as incidental as possible for the most part. Since some of what my culture's normal fats are unavailable to me (I am eskimo but live a regular Alaskan lifestyle) I need to make due with what is readily available. That means high fat dairy.

I think in the fall this year I am going to indulge in carbs for a bit since they would be available then naturally and put on some fat for the hard winter months like I would have a few centuries ago, and maybe I'll treat myself here and there on some items from time to time, like a hunter finding fresh berries under the snow would.

Read this

http://www.paleonu.com/panu-weblog/2010/3/28/the-only-reasonable-paleo-principle.html