We study length inflation in on-policy distillation (OPD), where student responses can become excessively long and even exhaust the generation budget. We identify \emph{termination-token mismatch} between base students and post-trained teachers as an important source of this behavior. Across Qwen3, Llama, and Gemma, the two models can place their stopping probability on different EOS tokens, even when their declared stopping sets are identical. This mismatch can suppress the student's preferred termination action without reliably transferring the teacher-preferred alternative. We show that aligning the decoding stopping set alone is insufficient, while treating functionally equivalent EOS tokens as a shared semantic stopping action substantially mitigates mismatch-induced length inflation across all three model families. To further understand how termination behavior evolves over training, we study OPD across different K2-Horizon training stages. This stage-wise analysis shows that termination preferences can shift substantially during training, while also revealing a distinct length inflation late in the OPD run that persists beyond termination alignment. Together, these results identify termination mismatch as an important, but not exhaustive, source of OPD length dynamics. We release an implementation incorporating the proposed termination-handling corrections.
On-policy distillation (OPD) has emerged as a core component of modern LLM post-training pipelines, yet we reveal a failure mode: degenerate agreement, where students exploit repetitive loops to achieve near-perfect token agreement with the teacher despite globally flawed responses. We therefore shift our focus from agreement to teacher-student mismatch, and find that mismatch tokens can be mainly categorized into two types: student-excess tokens and student-deficit tokens. Student-excess tokens are generated by the student but assigned near-zero probability by the teacher; their log-ratio corrections grow unbounded and destabilize the update. Student-deficit tokens, in contrast, are preferred by the teacher but rarely sampled by the student; their absence blocks the transfer of the teacher's reasoning patterns. To tackle these mismatch directions, we propose TIDE (Token-level Independent Deficit-Excess correction), which applies bounded Hellinger shaping to suppress the most severe sampled excesses and an analytic teacher top-K injection to restore deficient probability mass without requiring deficit tokens to be sampled. Across mathematical reasoning benchmarks with multiple Qwen3 teacher-student pairs, TIDE consistently outperforms standard OPD and recent token-selection and reward-shaping baselines. Moreover, the gains of TIDE are more pronounced under strong teacher-student mismatch, where it improves Avg@8 from 6.9% to 20.3%, reduces average response length by a factor of 3.6, and substantially reduces formatting failures. Code is available at https://github.com/yzc-666/TIDE
On-policy distillation transfers reasoning capabilities by training a student model on its own generated trajectories using token-level feedback from a teacher. However, we identify a critical bottleneck, \textbf{Supervision Fidelity Decay (SFD)}: as student-generated prefixes lengthen, the teacher's next-token distribution becomes less confident and less discriminative. Consequently, the teacher-dependent corrective signal in reverse-KL distillation weakens, causing student drift to compound across long reasoning chains. To mitigate SFD, we introduce \textbf{Lookahead Group Reward (\ours{})}. Building on the insight that next-step teacher confidence reflects the discriminative strength of future reverse-KL supervision, \ours{} evaluates the student's top-K candidate tokens by the teacher confidence they induce at the subsequent step and assigns a group-normalized reward. To maintain computational efficiency, we further design an entropy-triggered tree-attention mechanism. Across six math and code benchmarks, \ours{} improves mean@8 by \textbf{2.57} points over OPD for a 7B student, with gains increasing in longer-generation and reaching +\textbf{4.92} points on AIME-26 at 39k tokens.
On-policy distillation (OPD) has become a key paradigm in LLM post-training, yet its training dynamics remain poorly understood. We present a systematic study examining the role, pathologies, and regulations of OPD. We first clarify the role of OPD as an exploration catalyst: it steers the student toward correct reasoning paths via dense token-level guidance, without expanding capability ceiling. We confirm this by showing that prompt diversity matters more than per-problem sampling numbers, and critically, that the effectiveness of OPD hinges entirely on the quality of its guiding signal. This dependency exposes two pathologies that derail exploration. The Student-Teacher Mismatch occurs when a large teacher-student distributional gap causes the guiding signal to misalign with task correctness, steering exploration in counterproductive directions. Length Exploitation arises when the aggregated token-level objective creates length-dependent shortcuts, allowing the student to game the reward landscape through response truncation or redundant padding, exploring degenerate length modes rather than reasoning strategies. To tame these pathologies, we investigate lightweight signal regulations: advantage clipping and log-scale compression, ensuring exploration is guided by faithful signals. Experiments across seven benchmarks demonstrate that these regulations alleviate length exploitation and enable effective distillation, stably surpassing OPD variants and RLVR baselines, thereby confirming that well-regulated signal quality, rather than mere teacher scale, governs successful exploration in OPD.