Final answer:
Hamilton suggested meeting at Jefferson's home, which led to the Compromise of 1790 where they agreed on the federal government to assume state debts and to move the capital to the Potomac River.
Step-by-step explanation:
Alexander Hamilton suggested meeting at Thomas Jefferson's home to work out national problems related to the nation's finances and the location of the capital. The discussion led to the famous Compromise of 1790, which resulted in James Madison agreeing not to block Hamilton's plan for the federal government to assume state debts, and Hamilton agreeing to support moving the capital to a site on the Potomac River.
This arrangement was part of a larger debate involving the assumption of state debts and the location of the nation's capital. The Assumption Bill and the Residence Bill were passed by Congress in July 1790, reflecting the agreement made during that meeting. In ten years, the capital would move to Philadelphia while the permanent capital was being built on the Potomac River, consulted out of Virginia and Maryland.
Moreover, this negotiation at Jefferson's residence was essential in shaping the future fiscal policies and political landscape of the early United States, as it also involved discussions on other financial matters such as the creation of the Bank of the United States and the establishment of public credit based on the British model.