That sounds like the same problem that I was having. Paul Borgermans sent
me the following and it worked for me.
"For a quick work-around : do a xhost +<your-machine-name>, since I have no
time to dig further now."
-Mark Esplin
> Hi!
>
> Sorry, I know this has been asked before, but I can't find it in the
> archives.
>
> I'm using 1.1.6fix3 on Debian/unstable and the problem is, that figures
> don't show with lyx. The dvis are ok. Under the figure theres just the
> text "[rendering...]". Lyx starts a gs process (from ps ax):
>
> gs -sDEVICE=x11 -dNOPAUSE -dQUIET -dSAFER -r36x36.0859 -g307x210
> /tmp/lyx_tmpdir26
>
> - but it doesn't do anything. /tmp is there and has lots of space.
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