Personally I wouldn't. I prefer to keep my dev machine as close to a replica of the live environment as possible (in terms of software at least; physical separation is somewhat harder!).
In many ways the two versions are very similar, and SQL Server 2008 does support compatibility modes, but no matter what you do it isn't actually SQL Server 2005. If your production server isn't using 2008 then you can't take advantage of its capabilities anyway so all you're doing is increasing the chance of something working not quite the same without gaining any benefit.
Presumably the reason you want to do this is to play around with 2008 and see what its new capabilities are? In this case I'd recommend building a virtual machine with SQL Server 2008 and then you can play around as much as you like without jeopardizing the environment you need to get on with your normal work.