What's sad is that he wasn't really showing off— he's just one of those computer scientists who loves to geek out and doesn't really think how other people could interpret it; and I guess he was hoping the interviewer would just start nerding out with him, that they'd start talking about how GHC handles lazy evaluation, and that everything would be perfect.
He botched it. We laughed and let him retry in C. He solved it successfully - and also more people than myself could read the solution. Since he was a really junior chap, we didn't really have an issue with the botching.
I am OK with someone showing off. But you have to actually make the run successfully, IMO. Personally, if you can write FizzBuzz as a call/cc continuation, more power to you. I really want to see if you can grasp the upper reaches of computational abstraction in our field, i.e., show off. But trying and failing doesn't really win you points, at least with me.
The point of these programming tasks is not to show off your prowess; most of the time the interviewer is trying understand your thought process and maybe some basic programming abilities. Think of it like a sanity-check.
Showing off turns people off because it can lead to negative team behaviors. Being creative to make life better is good, but there's a line between that and being too clever to work with other people.