tommyz my fiat 500 says 99.9 when in neutral, and less when using engine braking.
This subject is not clean cut, the scenarios would determine the method to use. Trying to say one way or the other is best is like saying Marmite is 'orrid/lurvely.
I personaly get more mpg from coasting, especially on the flat wher I can coast for 1/4 mile in some areas, before having to decide to brake or slip it back into to get around the roound about.
MMUK has makes a valid point about steep hils though.
Don't forget that turning the engine, either way requires energy.
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