The New Jersey Plan was important because it was one of two major plans (along with the Virginia Plan) made to determine representation in the US legislature. Finally, the <span>Great Compromise settled the issue of representation in the legislature in that called for two houses in the legislature: the Senate and the House of Representatives, with the Senate having a set number of representatives per state (which favored the smaller states), and the House having representatives based on state population size (which favored the larger states). </span>