# Latent Concept Disentanglement in Transformer-based Language Models

arXiv: https://arxiv.org/abs/2506.16975 · HTML: https://mlsanity.com/paper/2506.16975/

## Key facts

- Cited by 3 papers in the map (data through 14 Oct 2026).
- Builds on 49 of its 66 references that are in the map.
- First posted on arXiv 20 Jun 2025.

## Builds on (most cited first, 30 of 49)

- [Language Models are Few-Shot Learners](https://mlsanity.com/paper/2005.14165/) (2020)
- [Locating and Editing Factual Associations in GPT](https://mlsanity.com/paper/2202.05262/) (2022)
- [Rethinking the Role of Demonstrations: What Makes In-Context Learning Work?](https://mlsanity.com/paper/2202.12837/) (2022)
- [Least-to-Most Prompting Enables Complex Reasoning in Large Language Models](https://mlsanity.com/paper/2205.10625/) (2022)
- [Interpretability in the Wild: a Circuit for Indirect Object Identification in GPT-2 small](https://mlsanity.com/paper/2211.00593/) (2022)
- [Language Models Don't Always Say What They Think: Unfaithful Explanations in Chain-of-Thought Prompting](https://mlsanity.com/paper/2305.04388/) (2023)
- [Editing Models with Task Arithmetic](https://mlsanity.com/paper/2212.04089/) (2022)
- [Refusal in Language Models Is Mediated by a Single Direction](https://mlsanity.com/paper/2406.11717/) (2024)
- [In-context Learning and Induction Heads](https://mlsanity.com/paper/2209.11895/) (2022)
- [Transformers learn in-context by gradient descent](https://mlsanity.com/paper/2212.07677/) (2022)
- [The Linear Representation Hypothesis and the Geometry of Large Language Models](https://mlsanity.com/paper/2311.03658/) (2023)
- [What Can Transformers Learn In-Context? A Case Study of Simple Function Classes](https://mlsanity.com/paper/2208.01066/) (2022)
- [The Geometry of Truth: Emergent Linear Structure in Large Language Model Representations of True/False Datasets](https://mlsanity.com/paper/2310.06824/) (2023)
- [What learning algorithm is in-context learning? Investigations with linear models](https://mlsanity.com/paper/2211.15661/) (2022)
- [Reasoning Models Don't Always Say What They Think](https://mlsanity.com/paper/2505.05410/) (2025)
- [The Platonic Representation Hypothesis](https://mlsanity.com/paper/2405.07987/) (2024)
- [Towards Best Practices of Activation Patching in Language Models: Metrics and Methods](https://mlsanity.com/paper/2309.16042/) (2023)
- [In-Context Learning Creates Task Vectors](https://mlsanity.com/paper/2310.15916/) (2023)
- [Function Vectors in Large Language Models](https://mlsanity.com/paper/2310.15213/) (2023)
- [Transformers as Statisticians: Provable In-Context Learning with In-Context Algorithm Selection](https://mlsanity.com/paper/2306.04637/) (2023)
- [Direct and Indirect Effects](https://mlsanity.com/paper/1301.2300/) (2013)
- [In-context Vectors: Making In Context Learning More Effective and Controllable Through Latent Space Steering](https://mlsanity.com/paper/2311.06668/) (2023)
- [Do Large Language Models Latently Perform Multi-Hop Reasoning?](https://mlsanity.com/paper/2402.16837/) (2024)
- [The Geometry of Categorical and Hierarchical Concepts in Large Language Models](https://mlsanity.com/paper/2406.01506/) (2024)
- [The Evolution of Statistical Induction Heads: In-Context Learning Markov Chains](https://mlsanity.com/paper/2402.11004/) (2024)
- [Interpretability at Scale: Identifying Causal Mechanisms in Alpaca](https://mlsanity.com/paper/2305.08809/) (2023)
- [Language Models Implement Simple Word2Vec-style Vector Arithmetic](https://mlsanity.com/paper/2305.16130/) (2023)
- [Model Organisms for Emergent Misalignment](https://mlsanity.com/paper/2506.11613/) (2025)
- [Convergent Linear Representations of Emergent Misalignment](https://mlsanity.com/paper/2506.11618/) (2025)
- [Language Models Use Trigonometry to Do Addition](https://mlsanity.com/paper/2502.00873/) (2025)

## Built on by (most cited first, 3 of 3)

- [Learning without training: The implicit dynamics of in-context learning](https://mlsanity.com/paper/2507.16003/) (2025)
- [In-Context Learning Operates as Concept Subspace Learning](https://mlsanity.com/paper/2605.18830/) (2026)
- [The Knowledge-Reasoning Dissociation: Fundamental Limitations of LLMs in Clinical Natural Language Inference](https://mlsanity.com/paper/2508.10777/) (2025)

## Abstract (arXiv)

When large language models (LLMs) use in-context learning (ICL) to solve a new task, they must infer latent concepts from demonstration examples. This raises the question of whether and how transformers represent latent structures as part of their computation. Our work experiments with several controlled tasks, studying this question using mechanistic interpretability. First, we show that in transitive reasoning tasks with a latent, discrete concept, the model successfully identifies the latent concept and does step-by-step concept composition. This builds upon prior work that analyzes single-step reasoning. Then, we consider tasks parameterized by a latent numerical concept. We discover low-dimensional subspaces in the model's representation space, where the geometry cleanly reflects the underlying parameterization. Overall, we show that small and large models can indeed disentangle and utilize latent concepts that they learn in-context from a handful of abbreviated demonstrations.