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Identifying the mechanisms underlying the persistence of rare species has long been a motivating question for ecologists. Classical theory implies that community dynamics should be driven by common species, and that natural selection should not allow small populations of rare species to persist. Yet, a majority of the species found on Earth are rare. Consequently, several mechanisms have been proposed to explain their persistence, including negative density dependence, demographic compensation, vital rate buffering, asynchronous responses of subpopulations to environmental heterogeneity, and fine‐scale source‐sink dynamics. Persistence of seeds in a seed bank, which is often ignored in models of population dynamics, can also buffer small populations against collapse. We used integral projection models (IPMs) to examine the population dynamics ofOenothera coloradensis, a rare, monocarpic perennial forb, and determine whether any of five proposed demographic mechanisms for rare species persistence contribute to the long‐term viability of two populations. We also evaluate how including a discrete seed bank stage changes these population models. Including a seed bank stage in population models had a significantly increased modeledO. coloradensispopulation growth rate. Using this structured population model, we found that negative density‐dependence was the only supported mechanism for the persistence of this rare species. We propose that high micro‐site abundances within a spatially heterogeneous environment enables this species to persist, allowing it to sidestep the demographic and genetic challenges of small population size that rare species typically face. The five mechanisms of persistence explored in our study have been demonstrated as effective strategies in other species, and the fact that only one of them had strong support here supports the idea that globally rare species can employ distinct persistence strategies. This reinforces the need for customized management and conservation strategies that mirror the diversity of mechanisms that allow rare species persistence. 

Abstract Plant populations are limited by resource availability and exhibit physiological trade‐offs in resource acquisition strategies. These trade‐offs may constrain the ability of populations to exhibit fast growth rates under water limitation and high cover of neighbours. However, traits that confer drought tolerance may also confer resistance to competition. It remains unclear how fitness responses to these abiotic conditions and biotic interactions combine to structure grassland communities and how this relationship may change along a gradient of water availability.To address these knowledge gaps, we estimated the low‐density growth rates of populations in drought conditions with low neighbour cover and in ambient conditions with average neighbour cover for 82 species in six grassland communities across the Central Plains and Southwestern United States. We assessed the relationship between population tolerance to drought and resistance to competition and determined if this relationship was consistent across a precipitation gradient. We also tested whether population growth rates could be predicted using plant functional traits.Across six sites, we observed a positive correlation between low‐density population growth rates in drought and in the presence of interspecific neighbours. This positive relationship was particularly strong in the grasslands of the northern Great Plains but weak in the most xeric grasslands. High leaf dry matter content and a low (more negative) leaf turgor loss point were associated with high population growth rates in drought and with neighbours in most grassland communities.Synthesis: A better understanding of how both biotic and abiotic factors impact population fitness provides valuable insights into how grasslands will respond to extreme drought. Our results advance plant strategy theory by suggesting that drought tolerance increases population resistance to interspecific competition in grassland communities. However, this relationship is not evident in the driest grasslands, where above‐ground competition is likely less important. Leaf dry matter content and turgor loss point may help predict which populations will establish and persist based on local water availability and neighbour cover, and these predictions can be used to guide the conservation and restoration of biodiversity in grasslands.