ssh-keygen RSA DSA keys don't seem to work

You are trying to setup password-less SSH authentication using RSA/DSA keys:

   client - host from which you'd like to connect to a server
   server - host to which you'd like to connect from a client

You've properly setup your private/public keys on the client using "ssh-keygen" 
command the pairs are saved in $HOME/.ssh/ :

client-> ls -l
-rw-------    1 oracle   oinstall      668 Jun 15  2007 id_dsa
-rw-r--r--    1 oracle   oinstall      605 Jun 15  2007 id_dsa.pub
-rw-------    1 oracle   oinstall      883 Jun 15  2007 id_rsa
-rw-r--r--    1 oracle   oinstall      225 Jun 15  2007 id_rsa.pub


You then copied *.pub keys over to the server saving it in the 
$HOME/.ssh/authorized_keys :

server-> ls -l
total 16
-rw-------  1 oracle oinstall 2523 Dec 28 15:49 authorized_keys

Now you are trying to ssh server from the client but it continues to prompt you 
for the password.

Fix the home directory permissions on the server:
[root@server ~]# ls -l /u01/app
total 12
drwxrwxr-x  7 oracle  oinstall 4096 Dec 28 01:37 oracle

[root@server ~]# chmod 700 /u01/app/oracle/

[root@server ~]# ls -l /u01/app
total 12
drwx------  7 oracle  oinstall 4096 Dec 28 01:37 oracle
[root@server ~]#

REFERENCE:
   http://forums.fedoraforum.org/archive/index.php/t-30684.html