Abstract:Role-playing language agents (RPLAs) should play characters whose values and behavior evolve as the story progresses, not maintain a fixed persona. Existing benchmarks measure factual recall at a given chapter, not whether responses align with the character's psychological trajectory, especially in scenarios the source text never explores. We introduce ArcANE (Arc-Aware Narrative Evaluation), an automatically constructed benchmark spanning 17 novels and 80 principal characters. A Character Arc segments the narrative into phases along a psychological axis, and each probe poses the same scenario across phases, spanning both situations within the source text and situations beyond it. Across six models and six context modes, conditioning on the Character Arc tops every other context strategy on every model, and the gap is largest on scenarios outside the source text where retrieval has nothing to find. We further fine-tune open-weight models on the same data to obtain ArcANE-8B/32B, which widen the Arc advantage even more on scenarios outside the source text.
Abstract:Small reasoning models (SRMs) often overthink during tool use: they reach a correct tool-argument configuration, then continue reasoning and overwrite it with an incorrect final call. We diagnose overthinking via oracle rollouts that inject </think> at sentence boundaries. On the Berkeley Function Calling Leaderboard (BFCL), this oracle termination lifts average accuracy from 85.8\% to 94.2\% while reducing tokens by 80-94\%, revealing substantial recoverable headroom and potential redundant reasoning. While prior work on concise reasoning has largely targeted mathematics, tool reasoning remains underexplored. We adapt various early-termination baselines to tool use and introduce ThinkBrake, a training-free decoding heuristic. ThinkBrake monitors the log-probability margin between </think> and the current top token at sentence boundaries and triggers termination when this margin becomes small. Across BFCL's single turn, non-live and live splits, ThinkBrake preserves or improves accuracy while reducing tokens up to 25\%, outperforming various baselines.