I found recently that my monkeyrunner scripts started failing after updating the Android SDK Tools to version 22.0.1. This is a known bug in the jython version shipped with it. Luckily it's easily fixed by replacing one .jar file.
http://www.jython.org/latest.html:
Jython 2.5.4rc1 Release Notes
Bugs Fixed:
[ 1972 ] jython 2.5.3 sys.stdin.readline() hangs when jython launched as subprocess on Mac OS X
1) Download latest jython 2.5.4rc1:http://search.maven.org/remotecontent?filepath=org/python/jython-standalone/2.5.4-rc1/jython-standalone-2.5.4-rc1.jar
2) Copy into ${ANDROID_ROOT}/sdk/tools/lib/
3) move or delete the existing jython-standalone-2.5.3.jar
That's it! monkeyrunner now process raw_input() and input() correctly.