People bought a car they thought was relatively clean (it wasn't), that got a certain MPG and performed at a certain level. Now they know it's NOT clean and the software fix will probably lower the MPG and performance to hit the correct emissions levels.
Would you like to have your car nerfed, or not be able to legally drive it? That's the choice these people may get stuck with.
If you are a social care worker for people in rural areas, or you have a job in the city (roving IT support for schools, private house appraiser, Meals on Wheels volunteer, etc.) then you cannot relocate closer, you cannot walk, and cannot easily do any of the other options you suggested.
The infrastructure is such that buying a more efficient vehicle is an affordable stop-gap remedy, and doable now. Changing to another way of living is much harder, and takes a lot longer.
A Jetta is 'money to blow?'
People that take pride in this are really irritating. If they have that much money to blow they would do orders of magnitude better for the environment if they just relocated closer to their place of employment and walked or biked. Or instead they should figure out how to carpool or take public transit.
It's like a billionaire bragging about his new eco-friendly private jet that uses 5% less fuel.