Total rubbish as usual! Wheel size has no effect on tyres rubbing!
The tyre size does.
If you fit the correct combination of wheel and tyre you keep the same rolling radius so a 16 and 17 inch wheel is the same diameter.
As for the OP's question its really down to personal taste.
If you want the wheel to stand out then go for 17's
Also a consideration is comfort, as with 16's you need a higher profile tyre so there is a bit more suppleness and not so much of a rock hard ride.