Grasslands, important agricultural land systems, are undergoing significant shifts such as intensification, abandonment, and conversion to alternative land uses in Europe, leading to biodiversity loss. Despite major efforts, the European Union´s Common Agricultural Policy (CAP) has been unable to halt the decline of grasslands and to appropriately adjust management intensity because implemented policies have not considered the heterogeneity of grassland systems. However, accounting for this heterogeneity is essential to increase the policies´ effectiveness. In this study, we used archetype analysis to identify recurrent patterns in the heterogeneity of farm configurations, using Germany as an example, that can help tailor policy instruments to specific regional conditions. By applying self-organising maps, we reveal nine archetypes integrating 16 farm accountancy indicators. Advancing archetype analysis, we discuss their dynamics (including their emergence, disappearance and persistence) between 1992 and 2019 at the level of federal states and interpret these dynamics in the light of CAP. For example, archetypes in the western federal states are dominated by small crop and dairy farms, while archetypes in the eastern federal states are more diverse, including larger subsidised farms and medium crop farms. Moreover, archetype dynamics in the southern federal states indicate a decline in small dairy farms and an increase in small crop farms, implying the loss of valuable habitats for wild species. Policy instruments tailored to such regional conditions could more appropriately halt this loss. These insights derived from agricultural land systems in Germany can enrich the debate about how to better tailor policy instruments to regional conditions to preserve functional grassland systems in Europe and worldwide.
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