Very newbie question. Trying to define cake core include path

I just donwloaded cakephp 2, just starting to learn it.

So here's what it says in the cook book.

The CakePHP core libraries will be placed in /usr/lib/cake.

if (!defined('CAKE_CORE_INCLUDE_PATH')) {
define('CAKE_CORE_INCLUDE_PATH', DS . 'usr' . DS . 'lib');
}

So I only need to define up till /lib ? without the /cake? Does that
mean my cake source will always be in a directory called cake?

In my case, my cake source is here
/var/www/lib/cake
And I copied webroot over to here
/var/www/html/caketest

So my index.php should have these?

if (!defined('ROOT')) {
define('ROOT', DS . 'var' . DS . 'www' . DS . 'html');
}

if (!defined('APP_DIR')) {
define('APP_DIR', 'caketest');
}

if (!defined('CAKE_CORE_INCLUDE_PATH')) {
define('CAKE_CORE_INCLUDE_PATH', DS . 'var' . DS . 'www' . 'lib');
}

So far I'm only getting blank pages. The index.php seems to stops
right at
App::uses('Dispatcher', 'Routing');

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