The Token Not Taken: Sampling, State, and the Stochasticity of AI Agents
Authors: Muhammad Zia Hydari, Raja Iqbal
Organizations: University of Pittsburgh · Ejento AI Inc.
Abstract
Agentic AI systems can behave differently across runs: the same request may produce a different plan, a different tool call, a different code edit, or a different final answer. Such variability arises from several layers that are often conflated. At the core of many current agents is a foundation model, a large pretrained model adaptable to many downstream tasks, embedded in an orchestration loop that plans, calls tools, observes results, and updates state. One explicit intrinsic source of variability in such systems is token generation: the model computes scores over possible next tokens, the scores are converted into probabilities, and a decoder may sample tokens using a pseudo-random number generator. A small sampled token difference can then cascade downstream into a different tool call, code path, search query, or agent state. Other sources of variability are extrinsic to token sampling, including changing environments, live data, serving infrastructure, batch effects, and numerical details. By separating these layers, this tutorial clarifies what it means to call agentic AI systems stochastic, when such variability can be reproduced under matched conditions, and why deterministic execution need not imply identical behavior in deployed settings.
The wide adoption of AI agents in complex human workflows is driving rapid growth in LLM token consumption. When agents are deployed on tasks that require a significant amount of tokens, three questions naturally arise: (1) Where do AI agents spend the tokens? (2) Which models are more token-efficient? and (3) Can agents predict their token usage before task execution? In this paper, we present the first systematic study of token consumption patterns in agentic coding tasks. We analyze trajectories from eight frontier LLMs on SWE-bench Verified and evaluate models' ability to predict their own token costs before task execution. We find that: (1) agentic tasks are uniquely expensive, consuming 1000x more tokens than code reasoning and code chat, with input tokens rather than output tokens driving the overall cost; (2) token usage is highly variable and inherently stochastic: runs on the same task can differ by up to 30x in total tokens, and higher token usage does not translate into higher accuracy; instead, accuracy often peaks at intermediate cost and saturates at higher costs; (3) models vary substantially in token efficiency: on the same tasks, Kimi-K2 and Claude-Sonnet-4.5, on average, consume over 1.5 million more tokens than GPT-5; (4) task difficulty rated by human experts only weakly aligns with actual token costs, revealing a fundamental gap between human-perceived complexity and the computational effort agents actually expend; and (5) frontier models fail to accurately predict their own token usage (with weak-to-moderate correlations, up to 0.39) and systematically underestimate real token costs. Our study offers new insights into the economics of AI agents and can inspire future research in this direction.
This position paper argues that agentic AI systems should be designed and evaluated as \emph{marginal token allocation economies} rather than as text generators priced by the unit. We follow a single request -- a developer asking a coding agent to fix a failing test -- through four economic layers that today are designed in isolation: a router that decides which model answers, an agent that decides whether to plan, act, verify, or defer, a serving stack that decides how to produce each token, and a training pipeline that decides whether the trace is worth learning from. We show that all four layers are solving the \emph{same} first-order condition -- marginal benefit equals marginal cost plus latency cost plus risk cost -- with different index sets and different prices. The framing is deliberately minimal: we do not propose a complete theory of AI economics. But adopting marginal token allocation as the shared accounting object explains why systems that locally minimize tokens globally misallocate them, predicts a small set of recurring failure modes (over-routing, over-delegation, under-verification, serving congestion, stale rollouts, cache misuse), and points to a concrete research agenda in token-aware evaluation, autonomy pricing, congestion-priced serving, and risk-adjusted RL budgeting.
Large language models in Agentic AI systems consume tool schemas and execution results and emit tool invocations as structured data. The default language for that exchange, JSON, was designed for application-to-application interchange rather than token efficiency, so its structural elements impose substantial token overhead. Recent work proposes token-optimized alternatives such as TOON (Token-Oriented Object Notation) and TRON (Token Reduced Object Notation) as more compact replacements, but these formats have been evaluated only on isolated comprehension or generation tasks. Whether their token reductions hold inside end-to-end agentic loops therefore remains an open question. We evaluate TOON and TRON on four agentic benchmarks (BFCL, MCPToolBenchPP, MCP-Universe, StableToolBench) and five open-weight LLMs, decoupling input compression from output compression to measure comprehension and generation independently. TRON reduces tokens by up to 27% with accuracy within 14pp of the JSON baseline. TOON achieves up to 18% reduction at a similar 9pp accuracy cost, but additionally cascades on multi-turn parsing failures and collapses parallel tool-call output for most models. The code is available at: https://github.com/lkutschka/notation-matters