This almost certainly means something is not right with your DBI installation...
print "$_\n" for grep /^[a-z]/, keys %DBI::;
after your 'use DBI;'. This single line will show you all symbols (including methods) in your DBI package after you've used it. If this list contains 'connect' then there's something wrong with your perl. If it doesn't, then something is wrong with your DBI.
You could try reinstalling your DBI package maybe...
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