Liquify not working

I select a layer to try to liquify

go to the filter menu and choose Liquify...

It is as if I am trying to liquify a blank layer. With view background checked at partial opacity the image is translucent. If I uncehcek the box I get a completely white rectangle.

I have tried holding down option when I select Liquify to force the tool into 8 bit mode, Cmd-D to make sure I don't have an active selection, and slecting a smaller area to work on.