Rails - Apr 2014 - Setting up rails, created a directory, wondering where to install rails

Hello, its my first time using ruby or the terminal, I am on Mac OS X
Mavericks.
I am trying to set up ruby on rails, I have got the rvm installed, I
have also created a
"mkdir rails_projects" and I have "cd rails_projects"

However, I haven't yet install rails, I did it on purpose because I
heard that its better to install it in each project separately instead
of globally. I am however, lost as to where in the project i should
install it at? is it ok if I install in my project directory
"rails_projects" that I created through mkdir? Thank you guys

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