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The standard install is described in the README.markdown and should work if you've installed the Mac OS X developer tools.
Alternatively, you could use MacPorts: Installing on Mac OS X using MacPorts
MacPorts includes functionality for upgrading and removal of packages, and allows you to select which python variant you may be interested in.
Please note that easy_install hyde or pip install hyde install the newer version (0.8+) of Hyde, not this (0.5) version.
easy_install hyde
pip install hyde