NaturalEve, I think the majority of the world, and particularly the younger generations, would fall down on your side. From my perspective, this look has become a modern classic, and one of the things I love about it the most is the huge continuum of variations. On the one end, you can add sparkle, lace, anything with a bit of a sheen... and you're ready for a party. On the other end is the quasi-androgynous version... a really nice button-front shirt with jeans, nice shoes, and a blazer is incredibly popular in the west-coast corporate sector. In fact, this variant of has become my favorite "I don't know what to wear" formula for work and networking functions. Offsite meeting at a ski lodge in August? I wear nice jeans, a crisp button-front shirt, a scarf, and interesting shoes.
Also, I think most people in my region allow the jeans + dressy combo to fall into business casual or smart casual territory... perhaps those who are more traditional would object, I consider it a notch above "just casual".