Why do small models refuse answers they've already been given?

I'm tracing how small language models work their way to an answer, and why they still abstain when retrieval has put the answer right in front of them. This grew out of my earlier work on memory and retrieval in LLMs.

Question
Retrieved evidenceencyclopedia
Canberra has been Australia's capital since 1913.
Model
Honors thesis · Fall 2026llm-memctl on GitHub ↗

Previous research

NeurIPS 2025 · AI4Science
A Multi-Modal Deep Learning Model for Drug Potency Prediction
Protein–ligand interaction fingerprints from docking and co-folding, fed into directed message-passing networks.
↗
Spring 2026 · Gilead
Can Analysts Predict Markets?
LLM sentiment from sell-side research reports, tested against walk-forward forecasts of Gilead's stock price.
↗
2025 · Wells Fargo
Optimizing Equity Derivative Hedging Strategies
A mixed-integer program that keeps a $10M exposure floor at minimum option premium.
↗