The Missouri Compromise was an agreement made in 1820 to resolve conflicts between free and slave states in the United States. It allowed the state of Missouri to enter the Union as a slave state while Maine was admitted as a free state, maintaining the balance of power in Congress. The compromise also established a line at latitude 36°30' north, north of which slavery was prohibited in the remaining territories of the Louisiana Purchase. This agreement was significant in American history as it temporarily eased tensions between the North and South over the issue of slavery. However, it ultimately failed to provide a lasting solution, leading to further conflicts that contributed to the outbreak of the Civil War.