Is an exaggerated dowry, for one who can afford it, an excessive honor for the woman, and does this contradict the recommendation for a light dowry?

It is commendable to reduce and facilitate the dowry (mahr), based on the Prophet's (peace be upon him) saying: "The best dowry is the easiest." The dowry for the Prophet's wives (peace be upon him) was five hundred dirhams, and for his daughters, four hundred dirhams, and this is what is commendable. Honoring a woman is by treating her well and kindly, not by the amount of the dowry. However, a capable husband is permitted to give more than that, as Allah the Almighty says: "And you have given one of them a qintar [a great amount]."