Here is the abridged steps for my own reference :) If you want detail read the full article below.
initdb -D pgdata
pg_ctl -D pgdata -l pgdata/psql.log start
rails -d postgresql argon
./script/generate model Argonista
I'm still not sure if I'll go with Postgres or MySQL but these steps should work on both. In fact with a migration file, I think you can have developers using postgres and the server could be mysql. Although the development will want to decide on a database platform before making any database specific calls.
technorati tags:Ruby, Rails, Migrations, Postgres