Population protocols are a model of distributed computing, in which $n$ agents with limited local state interact randomly, and cooperate to collectively compute global predicates. An extensive series of papers, across different communities, has examined the computability and complexity characteristics of this model. Majority, or consensus, is a central task, in which agents need to collectively reach a decision as to which one of two states $A$ or $B$ had a higher initial count. Two complexity metrics are important: the time that a protocol requires to stabilize to an output decision, and the state space size that each agent requires. It is known that majority requires $Ω(\log \log n)$ states per agent to allow for poly-logarithmic time stabilization, and that $O(\log^2 n)$ states are sufficient. Thus, there is an exponential gap between the upper and lower bounds. We address this question. We provide a new lower bound of $Ω(\log n)$ states for any protocol which stabilizes in $O( n^{1-c} )$ time, for any $c > 0$ constant. This result is conditional on basic monotonicity and output assumptions, satisfied by all known protocols. Technically, it represents a significant departure from previous lower bounds. Instead of relying on dense configurations, we introduce a new surgery technique to construct executions which contradict the correctness of algorithms that stabilize too fast. Subsequently, our lower bound applies to general initial configurations. We give an algorithm for majority which uses $O(\log n)$ states, and stabilizes in $O(\log^2 n)$ time. Central to the algorithm is a new leaderless phase clock, which allows nodes to synchronize in phases of $Θ(n \log{n})$ consecutive interactions using $O(\log n)$ states per node. We also employ our phase clock to build a leader election algorithm with $O(\log n )$ states, which stabilizes in $O(\log^2 n)$ time.