HomeResearch LibraryThe Illusion of Diminishing Returns: Measuring Long Hor…
Chapter 2 · 2026

The Illusion of Diminishing Returns: Measuring Long Horizon Execution in LLMs

Akshit Sinha, Arvindh Arun, Shashwat Goel

Abstract

Does continued scaling of large language models (LLMs) yield diminishing returns? In this work, we show that short-task benchmarks may give an illusion of slowing progress, as even marginal gains in single-step accuracy can compound into exponential improvements in the length of tasks a model can successfully complete. Then, we argue that failures of LLMs when simple tasks are made longer arise from mistakes in execution, rather than an inability to reason. So, we propose isolating execution capability, by explicitly providing the knowledge and plan needed to solve a long-horizon task. First, we find that larger models can correctly execute significantly more turns even when small models have near-perfect single-turn accuracy. We then observe that the per-step accuracy of models degrades as the number of steps increases. This is not just due to long-context limitations—curiously, we observe a self-conditioning effect—models become more likely to make mistakes when the context contains their errors from prior turns. Self-conditioning does not reduce by just scaling the model size. But, we find that thinking mitigates self-conditioning, and also enables execution of much longer tasks in a single turn. We conclude by benchmarking frontier thinking models on the length of tasks they can execute in a single turn. Overall, by focusing on the ability to execute, we hope to reconcile debates on how LLMs can solve complex reasoning problems yet fail at simple tasks when made longer, and highlight the massive benefits of scaling model size and sequential test-time compute for long-horizon tasks.

Eigenvector Insight — Zone III / PASF-PADE AnalysisNot part of the original paper
Eigenvector Research — Marco van Hurne
How this paper contributes to solving the Zone III problem (PASF-PADE)

This paper directly addresses one of the core structural challenges in Zone III deployments. The research on LLM execution, long-horizon tasks, benchmarking provides evidence-based foundations that enterprise architects cannot ignore when designing long-horizon autonomous workflows. The findings challenge the assumption that a base language model — however capable — can handle the complexity of durable, governed, multi-step execution without explicit architectural intervention. For Zone III practitioners, this paper belongs in the required reading list.

Why AI is not sufficient for Zone III without this

Zone III refers to high-complexity, high-risk, long-running agentic workflows — the class of enterprise AI deployments where a single failure can cascade across hundreds of steps. Standard AI models, trained to predict the next token, are not inherently designed for durable, governed, multi-step execution. This paper addresses one or more of the structural gaps that make Zone III deployments unsafe without explicit architectural intervention.

Topics

LLM executionlong-horizon tasksbenchmarkingself-conditioningscaling laws