"Notwithstanding the belief of some that social judgments can be solidly based on language use, the lay-lie shibboleth may be changing its status. For instance, several commentators, such as Evans 1957, Follett 1966, and Flesch 1983, are perfectly willing to give the distinction up; Bolinger 1980 thinks it is already a lost cause not worth defending; Copperud 1970, 1980 judges the consensus of his experts that at least some uses of lay for lie are verging on standard; Flesch even goes so far as to recommend using lay for lie if it comes naturally to you.
"If lay "lie" is on the rise socially, however, it is likely to be a slow rise, as indignant letters to the editor attest. Bolinger observes sensibly that if you have invested some effort in learning the distinction, you will not want to admit that you have wasted your time. ... So what should you do? The best advice seems to be Bolinger's:
"Many people use lay for lie, but certain others will judge you uncultured if you do. Decide for yourself what is best for you."