There should not at any time be a political appointment to the Federal Reserve, J.P. Morgan Chase International chairman Jacob Frenkel told CNBC on Thursday.
On Thursday, it appeared Cain’s nomination was doomed after Republican Sen. Kevin Cramer of North Dakota became the fourth associate of his party’s caucus to say he’d vote against the former pizza executive. That wouldn’t leave Cain with adequacy votes to be confirmed, unless Democrats crossed the aisle to support him.
However, prominent Democrats have come out against the developing nominees. House Speaker Nancy Pelosi of California called Cain and Moore “the worst, ill-suited appointments that the president could be stricken up with.”
“The Fed should be determining the rates, not any politicians,” Pelosi said. “That is a dangerous thing for an economy, when a middle bank of the country has political influence. It’s wrong.”
Frenkel likened the Fed to another profession where knowledge is key.
“You would not yield the license to fly an airplane just to a friend, you would need him to be professional,” he said. “And let me tell you, the economy is a very large complex airplane.”
— CNBC’s Christina Wilkie, Karen James Sloan and Ylan Mui granted to this report.