# The Quality-Utility Paradox: Why High-Reward Data Impairs Small Model Mathematical Reasoning

arXiv: https://arxiv.org/abs/2606.16152 · HTML: https://mlsanity.com/paper/2606.16152/

## Key facts

- No citing papers in the map yet (data through 14 Oct 2026).
- Placed in Prompting and chain-of-thought reasoning, one of 17 directions in LLM reasoning.
- Builds on 20 of its 32 references that are in the map.
- First posted on arXiv 15 Jun 2026.

## Placed in

- LLM reasoning / [Prompting and chain-of-thought reasoning](https://mlsanity.com/lr/prompting-and-chain-of-thought-reasoning/)
- LLM alignment / RLHF / preference optimisation / [Process reward models for reasoning](https://mlsanity.com/alignment/process-reward-models-for-reasoning/)
- Knowledge distillation / [Knowledge distillation for LLMs](https://mlsanity.com/distill/knowledge-distillation-for-llms/)

## Builds on (most cited first, 20 of 20)

- [The Llama 3 Herd of Models](https://mlsanity.com/paper/2407.21783/) (2024)
- [Distilling the Knowledge in a Neural Network](https://mlsanity.com/paper/1503.02531/) (2015)
- [DeepSeekMath: Pushing the Limits of Mathematical Reasoning in Open Language Models](https://mlsanity.com/paper/2402.03300/) (2024)
- [Measuring Mathematical Problem Solving With the MATH Dataset](https://mlsanity.com/paper/2103.03874/) (2021)
- [Let's Verify Step by Step](https://mlsanity.com/paper/2305.20050/) (2023)
- [Self-Instruct: Aligning Language Models with Self-Generated Instructions](https://mlsanity.com/paper/2212.10560/) (2022)
- [Solving Quantitative Reasoning Problems with Language Models](https://mlsanity.com/paper/2206.14858/) (2022)
- [OlympiadBench: A Challenging Benchmark for Promoting AGI with Olympiad-Level Bilingual Multimodal Scientific Problems](https://mlsanity.com/paper/2402.14008/) (2024)
- [Qwen2.5-Math Technical Report: Toward Mathematical Expert Model via Self-Improvement](https://mlsanity.com/paper/2409.12122/) (2024)
- [Self-Play Fine-Tuning Converts Weak Language Models to Strong Language Models](https://mlsanity.com/paper/2401.01335/) (2024)
- [Skywork-Reward: Bag of Tricks for Reward Modeling in LLMs](https://mlsanity.com/paper/2410.18451/) (2024)
- [A Survey on Knowledge Distillation of Large Language Models](https://mlsanity.com/paper/2402.13116/) (2024)
- [On the Generalization of SFT: A Reinforcement Learning Perspective with Reward Rectification](https://mlsanity.com/paper/2508.05629/) (2025)
- [Small Models Struggle to Learn from Strong Reasoners](https://mlsanity.com/paper/2502.12143/) (2025)
- [HelpSteer3-Preference: Open Human-Annotated Preference Data across Diverse Tasks and Languages](https://mlsanity.com/paper/2505.11475/) (2025)
- [Black-Box On-Policy Distillation of Large Language Models](https://mlsanity.com/paper/2511.10643/) (2025)
- [RS-DPO: A Hybrid Rejection Sampling and Direct Preference Optimization Method for Alignment of Large Language Models](https://mlsanity.com/paper/2402.10038/) (2024)
- [Early science acceleration experiments with GPT-5](https://mlsanity.com/paper/2511.16072/) (2025)
- [Learning from Mistakes: Negative Reasoning Samples Enhance Out-of-Domain Generalization](https://mlsanity.com/paper/2601.04992/) (2026)
- [Few-Shot Knowledge Distillation of LLMs With Counterfactual Explanations](https://mlsanity.com/paper/2510.21631/) (2025)

## Abstract (arXiv)

Knowledge distillation from powerful reasoning models is widely used to improve Small Language Models (SLMs) on mathematical reasoning, often assuming that traces with higher reward model scores provide more useful supervision. We identify a counterintuitive Quality-Utility Paradox in mathematical reasoning distillation. Data refined or synthesized by a stronger Oracle obtains higher perceived quality according to reward models, yet consistently underperforms traces generated by the SLM itself and selected through rejection sampling across Qwen2.5, LLaMA-3, and DeepSeek families. Our analysis shows that Oracle refinement couples logical repair with distributional drift away from the SLM's native reasoning distribution. This drift increases the learner's adaptation cost and can outweigh the benefit of improved reasoning logic. To test this mechanism, we introduce Style-Aligned Refinement, which preserves the native trajectory of the SLM while retaining logical repair from the Oracle. This intervention lowers adaptation cost and restores downstream utility. These findings suggest that effective mathematical reasoning distillation should jointly optimize perceived solution quality and learner-data compatibility, rather than relying solely on reward-model scores. The datasets and code are available at https://github.com/Dracoqhl/Quality-Utility-Paradox.