So if your true reaction is "you are just trying to reduce my status, and I don't think it's worth it for me to discuss this further", my choice, given the option to not display it or to display it, would usually be to display it, if a reaction was expected of me.

This can work sometimes but it in most contexts it is difficult to pull off without sounding awkward or crude. At best it conveys that you are aware that social dynamics exist but aren't quite able to navigate them smoothly yet. Mind you unless there is a pre-existing differential in status or social skills in their favour they will tend to come off slightly worse than you in the exchange. A costly punishment.