# Unveiling Knowledge Utilization Mechanisms in LLM-based Retrieval-Augmented Generation

arXiv: https://arxiv.org/abs/2505.11995 · HTML: https://mlsanity.com/paper/2505.11995/

## Key facts

- Cited by 4 papers in the map (data through 14 Oct 2026).
- Placed in RAG robustness and adaptive retrieval, one of 15 directions in Retrieval-augmented generation.
- Builds on 33 of its 41 references that are in the map.
- First posted on arXiv 17 May 2025.

## Placed in

- Retrieval-augmented generation / [RAG robustness and adaptive retrieval](https://mlsanity.com/rag/rag-robustness-and-adaptive-retrieval/)

## Builds on (most cited first, 30 of 33)

- [Attention Is All You Need](https://mlsanity.com/paper/1706.03762/) (2017)
- [Language Models are Few-Shot Learners](https://mlsanity.com/paper/2005.14165/) (2020)
- [The Llama 3 Herd of Models](https://mlsanity.com/paper/2407.21783/) (2024)
- [Retrieval-Augmented Generation for Knowledge-Intensive NLP Tasks](https://mlsanity.com/paper/2005.11401/) (2020)
- [Dense Passage Retrieval for Open-Domain Question Answering](https://mlsanity.com/paper/2004.04906/) (2020)
- [HotpotQA: A Dataset for Diverse, Explainable Multi-hop Question Answering](https://mlsanity.com/paper/1809.09600/) (2018)
- [TriviaQA: A Large Scale Distantly Supervised Challenge Dataset for Reading Comprehension](https://mlsanity.com/paper/1705.03551/) (2017)
- [GLU Variants Improve Transformer](https://mlsanity.com/paper/2002.05202/) (2020)
- [When Not to Trust Language Models: Investigating Effectiveness of Parametric and Non-Parametric Memories](https://mlsanity.com/paper/2212.10511/) (2022)
- [Are Sixteen Heads Really Better than One?](https://mlsanity.com/paper/1905.10650/) (2019)
- [Reading Wikipedia to Answer Open-Domain Questions](https://mlsanity.com/paper/1704.00051/) (2017)
- [Latent Retrieval for Weakly Supervised Open Domain Question Answering](https://mlsanity.com/paper/1906.00300/) (2019)
- [Towards Faithfully Interpretable NLP Systems: How should we define and evaluate faithfulness?](https://mlsanity.com/paper/2004.03685/) (2020)
- [BranchyNet: Fast Inference via Early Exiting from Deep Neural Networks](https://mlsanity.com/paper/1709.01686/) (2017)
- [KILT: a Benchmark for Knowledge Intensive Language Tasks](https://mlsanity.com/paper/2009.02252/) (2020)
- [RocketQA: An Optimized Training Approach to Dense Passage Retrieval for Open-Domain Question Answering](https://mlsanity.com/paper/2010.08191/) (2020)
- [Label Words are Anchors: An Information Flow Perspective for Understanding In-Context Learning](https://mlsanity.com/paper/2305.14160/) (2023)
- [RocketQAv2: A Joint Training Method for Dense Passage Retrieval and Passage Re-ranking](https://mlsanity.com/paper/2110.07367/) (2021)
- [PaperQA: Retrieval-Augmented Generative Agent for Scientific Research](https://mlsanity.com/paper/2312.07559/) (2023)
- [Investigating the Factual Knowledge Boundary of Large Language Models with Retrieval Augmentation](https://mlsanity.com/paper/2307.11019/) (2023)
- [Attentional Factorization Machines: Learning the Weight of Feature Interactions via Attention Networks](https://mlsanity.com/paper/1708.04617/) (2017)
- [Language-Specific Neurons: The Key to Multilingual Capabilities in Large Language Models](https://mlsanity.com/paper/2402.16438/) (2024)
- [The elephant in the interpretability room: Why use attention as explanation when we have saliency methods?](https://mlsanity.com/paper/2010.05607/) (2020)
- [Tug-of-War Between Knowledge: Exploring and Resolving Knowledge Conflicts in Retrieval-Augmented Language Models](https://mlsanity.com/paper/2402.14409/) (2024)
- [Cutting Off the Head Ends the Conflict: A Mechanism for Interpreting and Mitigating Knowledge Conflicts in Language Models](https://mlsanity.com/paper/2402.18154/) (2024)
- [PAIR: Leveraging Passage-Centric Similarity Relation for Improving Dense Passage Retrieval](https://mlsanity.com/paper/2108.06027/) (2021)
- [Unlocking General Long Chain-of-Thought Reasoning Capabilities of Large Language Models via Representation Engineering](https://mlsanity.com/paper/2503.11314/) (2025)
- [Unleashing the Potential of Large Language Models as Prompt Optimizers: Analogical Analysis with Gradient-based Model Optimizers](https://mlsanity.com/paper/2402.17564/) (2024)
- [Think More, Hallucinate Less: Mitigating Hallucinations via Dual Process of Fast and Slow Thinking](https://mlsanity.com/paper/2501.01306/) (2025)
- [REAR: A Relevance-Aware Retrieval-Augmented Framework for Open-Domain Question Answering](https://mlsanity.com/paper/2402.17497/) (2024)

## Built on by (most cited first, 4 of 4)

- [OpenDecoder: Open Large Language Model Decoding to Incorporate Document Quality in RAG](https://mlsanity.com/paper/2601.09028/) (2026)
- [STRIDE: Strategic Iterative Decision-Making for Retrieval-Augmented Multi-Hop Question Answering](https://mlsanity.com/paper/2604.17405/) (2026)
- [Persona Conditioning of Brand Recommendations in Retrieval-Augmented Commercial Chat: A Prominence-Stratified Cross-Provider Audit](https://mlsanity.com/paper/2605.30207/) (2026)
- [Knowing Before Answering: Decoding Language Models for Reliable RAG](https://mlsanity.com/paper/2608.27661/) (2026)

## Abstract (arXiv)

Considering the inherent limitations of parametric knowledge in large language models (LLMs), retrieval-augmented generation (RAG) is widely employed to expand their knowledge scope. Since RAG has shown promise in knowledge-intensive tasks like open-domain question answering, its broader application to complex tasks and intelligent assistants has further advanced its utility. Despite this progress, the underlying knowledge utilization mechanisms of LLM-based RAG remain underexplored. In this paper, we present a systematic investigation of the intrinsic mechanisms by which LLMs integrate internal (parametric) and external (retrieved) knowledge in RAG scenarios. Specially, we employ knowledge stream analysis at the macroscopic level, and investigate the function of individual modules at the microscopic level. Drawing on knowledge streaming analyses, we decompose the knowledge utilization process into four distinct stages within LLM layers: knowledge refinement, knowledge elicitation, knowledge expression, and knowledge contestation. We further demonstrate that the relevance of passages guides the streaming of knowledge through these stages. At the module level, we introduce a new method, knowledge activation probability entropy (KAPE) for neuron identification associated with either internal or external knowledge. By selectively deactivating these neurons, we achieve targeted shifts in the LLM's reliance on one knowledge source over the other. Moreover, we discern complementary roles for multi-head attention and multi-layer perceptron layers during knowledge formation. These insights offer a foundation for improving interpretability and reliability in retrieval-augmented LLMs, paving the way for more robust and transparent generative solutions in knowledge-intensive domains.