When Hamilton and Jefferson were arguing about whether or not the federal government should pick up the debts of all of the stat
es and pay them back, Jefferson eventually agreed with Hamilton that it should. What compromise did the two men reach so that Hamilton was able to get these debts paid? In other words, what did Jefferson get out of the bargain?
The Compromise of 1790 The Compromise of 1790 was a compromise between Alexander Hamilton and Thomas Jefferson with James Madison where Hamilton won the decision for the national government to take over and pay the state debts, and Jefferson and Madison obtained the national capital (District of Columbia) for the South. Hamilton's plan was to retire the old depreciated obligations by borrowing new money at a lower interest rate.
