Will the President Become the Boy Who Cried Wolf?

Repeated Dramatic Threats Can Lose Their Effectiveness Over Time.

• “We just might be moving into a situation where the President’s effectiveness going forward is something that will be determined by his willingness to withstand some more pain in the markets once again. There is little question that the major move in the bond market back in late-March/early-April caused the Administration to become less hawkish on the t…