Exactly.
In the game I run, my players know well that I reserve the right to moderate their choices for "Taken Out" depending on how they do it. I will not allow a continued string of non-lethal outcomes from 10 shift fireballs and lightning strikes, sword swings or bursts from an AK-47. Especially against vanilla humans. And this is well within the stated rules and is the job of the GM. DFRPG (and the FATE system as a whole) is a more cooperative game than many RPGs; but it does not mean that the GM has to throw out the consequences for any of their players actions just because the players want to.
As for a need to re-balance Fists... no. There is a reason that we equip soldiers and police officers with firearms. I don't care how many nights a week you train at your dojo, a .22 cal is a much more lethal weapon than your punch or kick. Yea, yea, there is always the fluke events. The guy that gets shot in the head and lives or the guy that died from one punch instantly. But those are statistical outliers and, in game mechanics, are represented by the +4 or -4 die rolls with, probably, fate points being spent. But, if I had to choose between being shot by a .22 cal round or taking a punch from Jet Li or Mike Tyson, I'm taking the punch every single day of the week. And for a good reason.