Oops, there's a configuration option for exactly this. Never mind.
http://shebang.brandonmintern.com/oneiric-upgrade-breaks-readline-alt-b
-and-alt
** Changed in: gnome-terminal (Ubuntu)
Status: Confirmed => Invalid
** Converted to question:
https://answers.launchpad.net/ubuntu/+source/gnome-terminal/+question/176160
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https://bugs.launchpad.net/bugs/874572
Title:
Alt+F, Alt+B, etc. open menubar items instead of moving cursor forward
and back on current command line
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