Rails HTTP Status always returns 200 in development

Question

I'm using Mongrel in development mode for my rails app. I noticed that regardless of the what the actual HTTP status should be, it is being returned as 200 to the browser. In production mode, the status is correct.

For example, when the record it is not found, the app displays the correct (not found) view, but the status sent to the browser is 200 (and to the layout view if I use request.status). Even when there is a 500 error, the status is also 200. In production mode, everything works correctly. The output of mongrel in Terminal displays the correct status, but it doesn't make it to the browser or layout views.

Is there a setting for the development configuration that changes this?

I'm using Mongrel on Mac 10.5.7 (tested on two different machines). On my production server, I'm using Apache / Passenger on Ubuntu. I'm using Rails 2.2.2.