It's a small schizophrenic
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Rails is a web-application framework that includes everything needed to create
database-backed web applications according to the Model-View-Control pattern.

The Project
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This pattern splits the view (also called the presentation) into "dumb"
templates that are primarily responsible for inserting pre-built data in between
HTML tags. The model contains the "smart" domain objects (such as Account,
Product, Person, Post) that holds all the business logic and knows how to
persist themselves to a database. The controller handles the incoming requests
(such as Save New Account, Update Product, Show Post) by manipulating the model
and directing data to the view.

The Team
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In Rails, the model is handled by what's called an object-relational mapping
layer entitled Active Record. This layer allows you to present the data from
database rows as objects and embellish these data objects with business logic
methods. You can read more about Active Record in
link:files/vendor/rails/activerecord/README.html.