so @knice almost had it, I ran into the same permission issue when starting my first rails project on mavericks.
as already mentioned, if you run ls -l, you will see your folder / files listed with their rights.
I solved this by changing the property recursively with the following command from outside my project directory
sudo chown -Rv <your_username> <your_path_and_foldername>
for example, if you are in your folder in the terminal, you should cd .. and then
sudo chown -Rv username ruby_proj/
-R is for a recursive value that will be applied to all files and folders contained in the folder you specify, and v after it simply produces verbose output, showing you which permissions on the folder and file have been changed.
Hope this helps someone else.
source share