I am on a fresh install of OS X Mountain Lion. I have installed rails via:
sudo gem install rails
Everything seems to install correctly, but wh
I think install rvm that will help you
rvm get head && rvm reload
rvm install 1.9.3
rvm use 1.9.3@current --create --default
The last line creates a gem set called current.
Now check to make sure you RubyGems was installed correctly by typing which gem in your terminal. Now update your gems.
gem update --system 1.8.24
Finally install rails.
gem install rails -v 3.2.3
I hope this works, let me know if you have any issues.