When you say pse 8 won't reconize the tablet, does that mean the cursor doesn't respond or you don't have any pen pressure?
Did you go to the wacom site and check for the latest drivers for your tablet?
Were you using a version of photoshop elements before?
I have a bamboo tablet that seems to work fine with pse 8.
Also, there are settings in the tool options bar for tablet pressure in pse 8 with the brush tool selected:
(press the arrow highlighted below to see the pressure options)