There’s no such thing as “out of ammo”
First of all, there is no evidence that central bankers are not achieving their goals.
The Fed is about to raise rates.There is not much else I agree with in the Sumner post. other than the headline and the two sentences quoted, but this puts him way ahead of most economists, even some so-called Austrian economist. who think the Fed is out of ammo.
(Note: As far as the rate hike, I believe it is completely determined at this point on short-term stock market trends. Stock market activity could go either way between now and the October and December FOMC monetary policy meetings. But it appears, at this point. that we are setting up for a strong first quarter of 2016 for the stock market---though I reserve the right to change my view on 2016 as money growth numbers come in between now and the end of the year.)
(ht Nick Badalamenti)