ROFLMAO!
Possibly, though I certainly wouldn't suggest it to him. I think the conversation probably goes something like this:

Farfarello [touching nose]: "It's red. And a product of a spiritually-bankrupt greed-driven consumerist society that ignores the original reason for the holiday & takes any opportunity to make money. I like it."

Nagi [grits teeth]: "Take. This. Damn. Elf-hat. Off. Me. NOW."

Schuldig: "Come and sit on my knee, little boy. Ho ho ho."

Crawford: "I Forsee anyone attempting to get me to wear a paper hat receiving a funeral for Christmas."