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Something changed in the US around 1980. I was there when it happened, and what happened was that the country shifted from a model that was a market economy at the macro scale but not at the level of individuals to a market all the way down (if you wanted it to be).pic.twitter.com/Xvcd3pFHxx
Because the phenomenon of (mostly young) professionals trying to get market rate for their work was novel, a name was invented for it: "Yuppies." The reason that seems an obsolete 80s word now is that we don't need a word for it now; now we take it for granted.
A couple years ago I spent several months figuring out and describing what happened in the US around 1980. Unfortunately it has more than just economic implications. If you want to read more about it, see http://paulgraham.com/re.html
Peter Thiel agrees with your thought. He speaks alot about how 80s & 90s there were deregulation at the macro level, but cities & states in turn increased regulation at micro. That could explain why Tesla can’t open a dealership in Texas and others states: regulatory capture.
There was a recession starting then.
Globalization
Right on! Japan "happened" around 1980. US manufacturers lost their pricing power, and US labor unions thier negotiating power. China, Mexico, and the rest of the world filled the gap when Japan matured.
The implication that the employment market is now efficient, or distorted?
Much more efficient than it used to be.
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