Don Boudreaux misses a trick here I think.
If the sight of the wealthy spend, spend, spending is a negative externality for poor people, and as such requires state intervention in the way of an extra tax levied on the rich, shouldn’t we call for an extra tax on the poor, too? After all, the sight of them just scraping by, constantly watching every penny must be a negative externality for rich people, which itself must requiring immediate government action. There’s really no reason to stop the argument halfway.
(I’m indebted to Walter Block for this point.)