(a) not exploitable without the existence of a much higher-severity exploit -- sure you can clear the screen, but that's low impact
(b) possible to trigger on other extant paths; see https://github.com/libarchive/libarchive/issues/2107 so it seems nothing new was introduced
(c) kind of contrived to get to execute; you have to somehow fail to extract the archive but on the happy path you'll see a bunch of weirdly-named files
I think it's distinctly higher-probability that this change was just meant to build credibility for the GitHub account. The diff is a fairly trivial patch to a minor issue filed around the same time as the pull request.
It's obvious, basically no one knows what's going on in the _vast_ majority of code running out systems these days. And even if you know 99% the attackers only need to be right once
Comment in your second link:
https://github.com/libarchive/libarchive/pull/1609#issuecomm...
It looks like the whole contribution to xz was an effort to just inject that backdoor. For example the author created the whole test framework where he could hide the malicious payload.
Before he started work on xz, he made contribution to libarchive in BSD which created a vulnerability.