A Hierarchical Language Model with Predictable Scaling Laws and Provable Benefits of Reasoning

We introduce a family of synthetic languages with hierarchical structure -- generated by a broadcast process on trees -- for which the role of context length and reasoning in autoregressive generation can be analyzed precisely. At the heart of our analytic approach is an exact k-gram ansatz in place of transformers with context length k, a substitution we then validate empirically. Using this ansatz we derive explicit asymptotic predictions for distributional statistics of the sequences produced by a trained model, instantiated in two settings. For the Ising broadcast process (a soft-constrained language), we prove that the variance of the generated sum scales log-linearly in the context depth and its kurtosis converges to that of a Gaussian -- both deviating from the true language for any sublinear context. For the coloring broadcast process (a hard-constrained language) in the freezing regime, bounded-context autoregression produces sequences that, with high probability, are inconsistent with any valid coloring of the underlying tree. Together these results imply an Omega(n) lower bound on the context length required to faithfully sample length-n sequences. In contrast, we prove that an autoregressive reasoning model with only Theta(log n) working memory can sample exactly from the true language -- an exponential improvement. We confirm both the lower-bound predictions and the reasoning-based upper bound empirically with transformers trained on the synthetic language; the trained models track our asymptotic predictions quantitatively across a wide range of context sizes.