I should state up front that that statement (http://twitter.com/wayne_graham/status/25120215542) was meant to be humorous. There's always a bit of teasing that goes on with different approaches to software development.
On a more serious note, as a developer coming from a background in C/C++ and Java, I find that the use of significant white-space is, well, silly. I does make you write beautiful code, but there are "better" ways of enforcing this type of style on developers. That's not to say that there aren't silly things in Ruby either (I find the use of punctuation in methods counter to a decade's worth of programming habits).
As far as functional languages go, I've come to really love one of the big tenants of Ruby community: testing. Testing is (unit, functional, etc.) has a lot of documentation, is relatively painless, and there are a lot of ways to generate reports on the quality of your code (check out metric_fu). This can be a bit more painful in PHP, but with appropriate workflows (we run our tests, documentation, and metrics with an ant script), it's not horrible. I can't speak to the Python development process as much (I've only had to tweak code), but I suspect the community as a whole is closer to the development mentality of Ruby than PHP.
As with any functional language (e.g. PHP, Ruby, Python), or approaches to DH projects, you need to pick an approach that makes sense. These languages mask a lot of complex, low-level stuff that you may (but probably don't want) access to change. I also have to say that most DH projects don't require Java's sophistication, nor do they have to tools to support sustained Java development. You will be wading through large numbers of framework dependencies, and if you don't have not only the developers, but also the server-support staff in place, these can be a nightmare. If you want to go down that road, I would suggest a functional language implementation that can run on the JVM like Clojure (http://clojure.org/) to get going.
One of the other things to weigh, especially in the start-up mentality of most DH shops, in choosing an approach if there is some support nearby. Someone new to programming probably shouldn't start out deploying a node.js application with dependencies on MongoDb as there just aren't folks around to ask when all your data suddenly disappears (and it will). However, it is a pretty safe bet to assume there's someone on higher ed campus with senior-level PHP experience. More and more, there's also probably a group of developers with experience in Rails/Sinatra/Django that can help with the issues that pop up during a development cycle (and these folks are generally more outgoing than Java developers).
While I'll state again that I don't believe Ruby is necessarily better than Python; there are just a few idioms that I personally find make more sense to the way in which I develop this type of software, and recommend it for DH projects (http://www.scholarslab.org/slab-code/why-ruby/). And, as to Python developers recently found, Ruby and Rails can be quite pleasant! http://blog.brandonbloom.name/2010/09/how-two-pythonistas-accidentally-fell.html