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This research identifies a critical failure mode in large language models where scaling increases capability but simultaneously accelerates reliability degradation through an invisible auto-regressive risk regime. The study demonstrates that once a model commits to a low-probability token, it enters a self-perpetuating error state that standard uncertainty metrics fail to detect and can compound hallucinations by up to 40% in larger architectures. Crucially, the authors show that this specific failure mode is causal and addressable via on-policy variance contraction techniques rather than simply adding more data or compute.
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Reliability Scales Inversely: Bigger Models Compound Mistakes Faster via a Hidden Auto-Regressive Risk Regime

arXiv3 min read

arXiv:2607.18292v1 Announce Type: cross Abstract: As language models scale, answers start truer but degrade faster: scaling buys capability but erodes reliability. The knowledge-gap account - more data, retrieval, or scale - misses an auto-regressive risk residual that scale sharpens: the model commits to a low-probability token, conditions on it as established, and snowballs. We track this through per-position disagreement $\delta = \log p_M - \log p_O$ against a stronger same-family oracle, whose second moment splits exactly into bias$^2$ $\mathrm{KL}(p_M \,\|\, p_O)^2$ and risk $\mathrm{Var}[\delta]$. We present four findings: (i) under scaling, the knowledge gap falls $\approx$$6\times$ while knowledge degradation grows $11$-$39\times$; (ii) at a fabrication, felt uncertainty $H(p_M)$ relaxes quickly while oracle-referenced risk persists up to $17\times$ longer, leaving a confident-but-precarious risk regime that bridges consecutive fabrications ($+69\%$ at $14$B); (iii) this regime is causal - an on-policy, fixed-$\mathrm{KL}$ variance contraction cuts web-verified hallucination by $35$-$74\%$ across three model families; and, (iv) it structurally evades self-monitoring, with $p_M$-only detectors (e.g. semantic entropy) firing $\approx$$30\%$ less ($p<10^{-16}$) on the risky branch holding nearly $4\times$ more fabrications. Bigger models snowball mistakes faster, through a failure mode that is dominant, self-perpetuating, causal and invisible to the model itself.

Abstract:As language models scale, answers start truer but degrade faster: scaling buys capability but erodes reliability. The knowledge-gap account - more data, retrieval, or scale - misses an auto-regressive risk residual that scale sharpens: the model commits to a low-probability token, conditions on it as established, and snowballs. We track this through per-position disagreement $\delta = \log p_M - \log p_O$ against a stronger same-family oracle, whose second moment splits exactly into bias$^2$ $\mathrm{KL}(p_M \,\|\, p_O)^2$ and risk $\mathrm{Var}[\delta]$. We present four findings: (i) under scaling, the knowledge gap falls $\approx$$6\times$ while knowledge degradation grows $11$-$39\times$; (ii) at a fabrication, felt uncertainty $H(p_M)$ relaxes quickly while oracle-referenced risk persists up to $17\times$ longer, leaving a confident-but-precarious risk regime that bridges consecutive fabrications ($+69\%$ at $14$B); (iii) this regime is causal - an on-policy, fixed-$\mathrm{KL}$ variance contraction cuts web-verified hallucination by $35$-$74\%$ across three model families; and, (iv) it structurally evades self-monitoring, with $p_M$-only detectors (e.g. semantic entropy) firing $\approx$$30\%$ less ($p<10^{-16}$) on the risky branch holding nearly $4\times$ more fabrications. Bigger models snowball mistakes faster, through a failure mode that is dominant, self-perpetuating, causal and invisible to the model itself.

Machine Learning (cs.LG); Artificial Intelligence (cs.AI); Computation and Language (cs.CL)

arXiv:2607.18292 [cs.LG]

(or arXiv:2607.18292v1 [cs.LG] for this version)

https://doi.org/10.48550/arXiv.2607.18292 Focus to learn more arXiv-issued DOI via DataCite

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Full text under the publisher's open licence · 289 words

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