The fact some people like larger gauge wire for speaker cables and power cables is explained by the fact the lower the impedance, the faster the slew rate. For people with high power amplifiers and inefficient speakers, it makes sense to me that the best cable for the purpose is going to be sized for peak currents rather than average currents, not only that, but there must be some added capacity to allow for the fastest slew rate possible.
So, if you have an amp that puts out 1600 watt peaks, you have 14.14 amps at that peak, which would normally require a 14g wire, but if you double that to reduce the cable's impedance you now have an 8g wire, which is certainly very common, and I don't think it's overkill. If you calculate the same using RMS power, say if it's 400W, that would only require a 19g wire, which isn't enough for an amp that size IMO. So it's not as simple as calculating for wire you'd use for an electrical service in your house...