# Solving Without Stopping: On-Policy Distillation at Small Scale

arXiv: https://arxiv.org/abs/2609.37326 · HTML: https://mlsanity.com/paper/2609.37326/

## Key facts

- Cited by 1 papers in the map (data through 14 Oct 2026).
- Placed in Prompting and chain-of-thought reasoning, one of 17 directions in LLM reasoning.
- Builds on 26 of its 30 references that are in the map.
- First posted on arXiv 29 Sep 2026.

## Placed in

- LLM reasoning / [Prompting and chain-of-thought reasoning](https://mlsanity.com/lr/prompting-and-chain-of-thought-reasoning/)
- Knowledge distillation / [On-policy and self-distillation for LLMs](https://mlsanity.com/distill/on-policy-and-self-distillation-for-llms/)

## Builds on (most cited first, 26 of 26)

- [Qwen3 Technical Report](https://mlsanity.com/paper/2505.09388/) (2025)
- [DeepSeek-R1: Incentivizing Reasoning Capability in LLMs via Reinforcement Learning](https://mlsanity.com/paper/2501.12948/) (2025)
- [Self-Consistency Improves Chain of Thought Reasoning in Language Models](https://mlsanity.com/paper/2203.11171/) (2022)
- [DAPO: An Open-Source LLM Reinforcement Learning System at Scale](https://mlsanity.com/paper/2503.14476/) (2025)
- [s1: Simple test-time scaling](https://mlsanity.com/paper/2501.19393/) (2025)
- [Does Reinforcement Learning Really Incentivize Reasoning Capacity in LLMs Beyond the Base Model?](https://mlsanity.com/paper/2504.13837/) (2025)
- [On-Policy Distillation of Language Models: Learning from Self-Generated Mistakes](https://mlsanity.com/paper/2306.13649/) (2023)
- [Sequence-Level Knowledge Distillation](https://mlsanity.com/paper/1606.07947/) (2016)
- [Policy Distillation](https://mlsanity.com/paper/1511.06295/) (2015)
- [Rethinking On-Policy Distillation of Large Language Models: Phenomenology, Mechanism, and Recipe](https://mlsanity.com/paper/2604.13016/) (2026)
- [Causal Confusion in Imitation Learning](https://mlsanity.com/paper/1905.11979/) (2019)
- [Dynamic Early Exit in Reasoning Models](https://mlsanity.com/paper/2504.15895/) (2025)
- [Entropy-Aware On-Policy Distillation of Language Models](https://mlsanity.com/paper/2603.07079/) (2026)
- [Reasoning Models Know When They're Right: Probing Hidden States for Self-Verification](https://mlsanity.com/paper/2504.05419/) (2025)
- [Revisiting On-Policy Distillation: Empirical Failure Modes and Simple Fixes](https://mlsanity.com/paper/2603.25562/) (2026)
- [Small Models Struggle to Learn from Strong Reasoners](https://mlsanity.com/paper/2502.12143/) (2025)
- [Rethinking On-Policy Self-Distillation for Thinking Models](https://mlsanity.com/paper/2607.05184/) (2026)
- [Bridging the Imitation Gap by Adaptive Insubordination](https://mlsanity.com/paper/2007.12173/) (2020)
- [Sequence Model Imitation Learning with Unobserved Contexts](https://mlsanity.com/paper/2208.02225/) (2022)
- [Demystifying On-Policy Distillation: Roles, Pathologies, and Regulations](https://mlsanity.com/paper/2607.13399/) (2026)
- [Escaping the KL Agreement Trap in On-Policy Distillation](https://mlsanity.com/paper/2606.09471/) (2026)
- [Knowing When to Quit: A Principled Framework for Dynamic Abstention in LLM Reasoning](https://mlsanity.com/paper/2604.18419/) (2026)
- [SimpleOPD: Simple Tokenizer-Agnostic On-Policy Distillation for Long-Context Reasoning](https://mlsanity.com/paper/2608.14277/) (2026)
- [Towards Understanding On-Policy Distillation through the Lens of Test-Time Scaling](https://mlsanity.com/paper/2608.11829/) (2026)
- [Outcome-Confounded Local Supervision in On-Policy Distillation](https://mlsanity.com/paper/2607.23731/) (2026)
- [Beyond Token-Local Imitation: Reward-Compatible Temporal Credit Assignment for On-Policy Distillation](https://mlsanity.com/paper/2609.16937/) (2026)

## Built on by (most cited first, 1 of 1)

- [What Will Post-Training Fix? Per-Problem Gains Are Shared Across Independent RL Runs, and Existing Checkpoints Predict Them Better Than A Priori Signals](https://mlsanity.com/paper/2610.04978/) (2026)

## Abstract (arXiv)

On-policy distillation, where a student learns from a stronger teacher's feedback on its own outputs, is a common way to pass reasoning to smaller models. We analyze what it transfers at small scale, distilling Qwen3-8B into Qwen3 4B, 1.7B and 0.6B students, in thinking mode (reason at length, then end the reasoning and answer) and, for comparison, in non-thinking mode (no separate reasoning phase). Long reasoning needs two abilities, solving a problem and knowing when it is solved, and we find that distillation transfers the first, but in thinking mode not the second. Solving improves at every size, up to two ceilings, which we measure comprehensively across both modes and all student sizes: a student's single attempt never exceeds what it could already reach in many attempts before training, and the smaller the student, the further it stays below the teacher. Stopping is where the modes part. In non-thinking mode every student keeps stopping; in thinking mode students stop ending their reasoning early in training, and the smaller the student, the less of this ability survives: the teacher signals a stop almost only where a student already ends its reasoning, so distillation teaches no new stops; it only keeps the student's existing stops that land on a right answer, and a weak student has few such stops. The smallest students often reach the right value but do not commit to it: they either rarely mark it or mark it and write past it. Together, these results describe how small students behave under on-policy distillation, and a diagnostic that separates answer marking, correctness and stopping.
