fyujj sent me pm with suggested modification to the setup script to instruct users to press the ENTER key as appropriate. I have implemented this and the new package is:
Comments:Posted on 4 Aug 2010, 7:25 by fyujj
Thanks for that, Barry. This is a problem of rp-pppoe (it happened just the same when I tried Parted Magic). I may have sounded a bit exasperated but it's very mysterious for a new user and I had no idea of what the problem was until I read the post by npierce at http://www.murga-linux.com/puppy/viewtopic.php?t=30818&sid=ac104213698b826bb985319052273179 (thanks to him as well).