Re: PK Explanation of the Boom-80s

[anon0e50@xxxxxxxxxxxxx (Name withheld by request)]

The standard neoclassical paradigm cannot account for the high growth of
the 1980s coupled with the inequitable redistribution of wealth that
accorded during this decade. Quite frankly this problem is not new--and
began in the early 1970s but was more apparent during the 80s. The
neoclassical paradigm fails to explain why "meadian" income did not
rise--in fact, meadian income per household is flat since 1970 (this
includes the trend of the non-working spouse entering the labor market!!).
Conversely--the incomes of the rich (somewhat nebulously defined) rose in
excess of the growth rate during the 1980s.

I've encountered a few papers on this discussion but they tend not to
place much emphasis on the redistribution question.

What is the p-k approach to this problem. And what is the explanation?

Thanks,

D.M. Talan