# Nice Fold or Hero Call: Learning Budget-Efficient Thinking for Adaptive Reasoning

arXiv: https://arxiv.org/abs/2605.11625 · HTML: https://mlsanity.com/paper/2605.11625/

## Key facts

- No citing papers in the map yet (data through 14 Oct 2026).
- Placed in Test-time compute and efficient thinking, one of 17 directions in LLM reasoning.
- Builds on 44 of its 48 references that are in the map.
- First posted on arXiv 12 May 2026.

## Placed in

- LLM reasoning / [Test-time compute and efficient thinking](https://mlsanity.com/lr/test-time-compute-and-efficient-thinking/)

## Builds on (most cited first, 30 of 44)

- [LoRA: Low-Rank Adaptation of Large Language Models](https://mlsanity.com/paper/2106.09685/) (2021)
- [Chain-of-Thought Prompting Elicits Reasoning in Large Language Models](https://mlsanity.com/paper/2201.11903/) (2022)
- [DeepSeekMath: Pushing the Limits of Mathematical Reasoning in Open Language Models](https://mlsanity.com/paper/2402.03300/) (2024)
- [DeepSeek-R1: Incentivizing Reasoning Capability in LLMs via Reinforcement Learning](https://mlsanity.com/paper/2501.12948/) (2025)
- [Let's Verify Step by Step](https://mlsanity.com/paper/2305.20050/) (2023)
- [GPQA: A Graduate-Level Google-Proof Q&A Benchmark](https://mlsanity.com/paper/2311.12022/) (2023)
- [Scaling LLM Test-Time Compute Optimally can be More Effective than Scaling Model Parameters](https://mlsanity.com/paper/2408.03314/) (2024)
- [Large Language Monkeys: Scaling Inference Compute with Repeated Sampling](https://mlsanity.com/paper/2407.21787/) (2024)
- [Do NOT Think That Much for 2+3=? On the Overthinking of o1-Like LLMs](https://mlsanity.com/paper/2412.21187/) (2024)
- [Stop Overthinking: A Survey on Efficient Reasoning for Large Language Models](https://mlsanity.com/paper/2503.16419/) (2025)
- [L1: Controlling How Long A Reasoning Model Thinks With Reinforcement Learning](https://mlsanity.com/paper/2503.04697/) (2025)
- [Chain of Draft: Thinking Faster by Writing Less](https://mlsanity.com/paper/2502.18600/) (2025)
- [MathArena: Evaluating LLMs on Uncontaminated Math Competitions](https://mlsanity.com/paper/2505.23281/) (2025)
- [Omni-MATH: A Universal Olympiad Level Mathematic Benchmark For Large Language Models](https://mlsanity.com/paper/2410.07985/) (2024)
- [DeepMath-103K: A Large-Scale, Challenging, Decontaminated, and Verifiable Mathematical Dataset for Advancing Reasoning](https://mlsanity.com/paper/2504.11456/) (2025)
- [O1-Pruner: Length-Harmonizing Fine-Tuning for O1-Like Reasoning Pruning](https://mlsanity.com/paper/2501.12570/) (2025)
- [Token-Budget-Aware LLM Reasoning](https://mlsanity.com/paper/2412.18547/) (2024)
- [Training Language Models to Reason Efficiently](https://mlsanity.com/paper/2502.04463/) (2025)
- [A Survey on Test-Time Scaling in Large Language Models: What, How, Where, and How Well?](https://mlsanity.com/paper/2503.24235/) (2025)
- [Dynamic Early Exit in Reasoning Models](https://mlsanity.com/paper/2504.15895/) (2025)
- [MuSR: Testing the Limits of Chain-of-thought with Multistep Soft Reasoning](https://mlsanity.com/paper/2310.16049/) (2023)
- [When More is Less: Understanding Chain-of-Thought Length in LLMs](https://mlsanity.com/paper/2502.07266/) (2025)
- [CoT-Valve: Length-Compressible Chain-of-Thought Tuning](https://mlsanity.com/paper/2502.09601/) (2025)
- [Efficient Reasoning Models: A Survey](https://mlsanity.com/paper/2504.10903/) (2025)
- [Efficient Reinforcement Finetuning via Adaptive Curriculum Learning](https://mlsanity.com/paper/2504.05520/) (2025)
- [OpenClaw-RL: Train Any Agent Simply by Talking](https://mlsanity.com/paper/2603.10165/) (2026)
- [Learning When to Think: Shaping Adaptive Reasoning in R1-Style Models via Multi-Stage RL](https://mlsanity.com/paper/2505.10832/) (2025)
- [On the Use of Agentic Coding: An Empirical Study of Pull Requests on GitHub](https://mlsanity.com/paper/2509.14745/) (2025)
- [AdaCtrl: Towards Adaptive and Controllable Reasoning via Difficulty-Aware Budgeting](https://mlsanity.com/paper/2505.18822/) (2025)
- [From LSAT: The Progress and Challenges of Complex Reasoning](https://mlsanity.com/paper/2108.00648/) (2021)

## Abstract (arXiv)

Large reasoning models (LRMs) improve problem solving through extended reasoning, but often misallocate test-time compute. Existing efficiency methods reduce cost by compressing reasoning traces or conditioning budget on perceived difficulty, yet read the resulting pass rate as a difficulty score, leaving the zero-return regime unmodeled. As a result, they overspend on queries beyond the model's capability while compressing hard-but-solvable ones that need deeper reasoning. In this work, we formulate adaptive reasoning as a computational investment under uncertainty, where budget follows the expected return of reasoning rather than perceived difficulty. To instantiate this principle, we propose Budget-Efficient Thinking (BET), a two-stage framework that combines behavioral cold-start with GRPO under an investment-cost-aware reward. By aligning solve-or-fold decisions with rollout-derived solvability, BET learns three behaviors: (1) short solve, answering easy queries concisely; (2) nice fold, abstaining early when continued reasoning has near-zero expected return; and (3) hero call, preserving sufficient compute for hard-but-solvable queries. Across seven benchmarks and three base models, BET reduces reasoning tokens by 54% while improving up to 3.2% accuracy, and transfers zero-shot to scientific QA and logical reasoning with comparable efficiency gains. Code is available at https://github.com/houqiii/BET