i just did this too. (Rails version 1.1.6) i used the advance version http://demo.script.aculo.us/ajax/autocompleter_customized (basic http://demo.script.aculo.us/ajax/autocompleter) i have an item that i want to associate to a project.
in the head of my layout I only call <%= javascript_include_tag :defaults %> I did not create a javascript folder
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