Yeah, that should be OK. But if it's coming out in the <p>{vb:raw criteriaDisplay}</p> in the same template (headinclude) then whatever you're doing must already be makign the variable available. (if you're putting that in a different template then the problem might be that $criteriaDisplay isn't set yet when header is rendered).
I just noticed that there's already a bunch of js vars defined the same way in headinclude, so I don't know why yours wouldn't work the same way.
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