If you're on a non-upgraded x64 version of Lion don't use Homebrew to install MySQL
At least for me I couldn't get gem install mysql or gem install mysql2 to compile. Kept bitching about missing header files and the like. Instead use this .dmg http://dev.mysql.com/downloads/mysql/
if after this you get: Library not loaded: libmysqlclient.18.dylib
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sudo ln -s /usr/local/mysql/lib/libmysqlclient.18.dylib /usr/lib/libmysqlclient.18.dylib
Make sure you install the developer release, should have something like "m-11" in the filename
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