This issue is solved. Here was the problem:
wsgi-lsapi was quietly changing working directories to /var/www/example.com/myapp, which had a file named locale.py in it (thus interrupting a similarly named file from being loaded from the stdlib). I consider this a bug as the location variable...
After spending several hours attempting to get this working, I have come to the conclusion that there appears to be a bug with the wsgi-lsapi applet. I'll begin by showing you what the stderr.log produces upon every request:
Traceback (most recent call last):
File...