I just installed Ruby 2.0.0 using rbenv and set it to the global ruby version for my system. Since 2.0 is compatible with 1.9.3, I tried to start up a Rails project with it, but
Another solution to this is to copy (or reinstall) the gems from your previous version to the newly installed version. How to do that is answered in detail in this question, which has two scripts -- one to install from local cache, one to reinstall from the internet (mine).