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Reducing Credit Assignment Variance via Counterfactual Reasoning Paths

Counterfactual reasoning paths convert sparse terminal rewards into step-sensitive signals, reducing gradient variance and improving LLM reasoning via IBPO.

fei ding, Yongkang Zhang, youwei wang, Zijian Zeng

Published 2026Sydney Poster Session 1 · Tue, Dec 8, 10:00 AM–1:00 PM local time · Hall 1-4arXiv ↗OpenReview ↗

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Abstract

Reinforcement learning for multi-step reasoning with large language models (LLMs) typically relies on sparse terminal rewards, which creates a poorly conditioned credit-assignment problem: the final feedback is propagated uniformly across all intermediate decisions. This leads to high gradient variance, unstable training, and many ineffective updates, ultimately limiting sustained model improvement. We propose a counterfactual-comparison framework for credit assignment. For each input, the framework samples multiple reasoning trajectories and treats their differences as implicit approximations to alternative decisions. This yields an implicit process-level advantage estimator that converts sparse terminal rewards into step-sensitive learning signals. Building on this framework, we introduce Implicit Behavior Policy Optimization (IBPO), which substantially improves training stability and the performance ceiling on mathematical and code-reasoning benchmarks. Our results point to a promising direction for unlocking the reasoning potential of LLMs.