Blog as sub folder or subdomain

[yourspares]

Is it better to set up a blog using a sub folder on the website's domain or by using a subdomain:

• http://www.domain.com/blog/
• http://blog.domain.com

[Theo-NL]

"99.9% of the time, if a subfolder will work, it's the best choice for all parties." (http://www.seomoz.org/blog/subdomains-subfolders-and-toplevel-domains).

Even though this is a post made in 2006, I don't know of any relevant changes that would alter this advice.