Frame: the problem and its names

This file states the problem in one sentence, defines the terms used in this folder, names what the field calls each part, and sets the scope.

The problem in one sentence

Which structure of text and files lets a large language model (LLM, a neural network that reads and writes text as tokens) answer and act correctly from them at the least cost? And how is a model that writes into the repository held to the repository's rules?

Terms used in every file of this folder

Term Definition
token the unit a model reads and is billed for, roughly a word piece
context all tokens a model receives in one call: instructions, documents, history
causal attention each token can draw only on tokens before it; the design of decoder-only models
coding agent an LLM that runs tools (shell, editor, tests) inside a repository
instruction file a file in a repository written for agents to read at the start of a session
retrieval-augmented generation (RAG) retrieved passages are pasted into the context before the model answers

What the field calls each part

Our words The field's names Acronym Entry point
where a fact sits in the input positional bias; lost in the middle; primacy and recency bias; serial-position effect LiM Liu 2024
how much input a model really uses effective context length; long-context utilization; context rot NIAH (needle in a haystack) Hsieh 2024a; Hong 2025
the same content, laid out differently prompt formatting sensitivity; spurious features; prompt template; table serialization FormatSpread Sclar 2024
the format asked of the answer structured generation; format restrictions; format tax Tam 2024; Lee 2026
text that does not serve the task distractibility; irrelevant context; noise robustness; context bloat GSM-IC Shi 2023
two sources that disagree knowledge conflict (inter-context, context-memory) Xu 2024b
choosing what enters the context context engineering; prompt compression Mei 2025; Jiang 2023
files that tell agents how to work repository context files; agent configuration files; AGENTS.md; cursor rules; llms.txt Gloaguen 2026
many rules at once instruction following; verifiable instructions; instruction density IFEval; IFScale Zhou 2023a; Jaroslawicz 2025
telling model text from human text machine-generated text detection; excess vocabulary; stylometry Wu 2025; Kobak 2025
a model checking its own work intrinsic self-correction; self-refinement; self-repair; self-preference bias Huang 2024; Kamoi 2024

Scope

  • In: how the input is structured, instruction files for agents, the model as a writer bound by rules.
  • Out: training methods, except where a trained model changes a conclusion drawn from prompted ones.
  • Out: retrieval system design, except where it shows what text in the context does to the answer.

What practitioners call each part

Practitioners say The field says
prompt engineering; context engineering context engineering (Mei 2025); prompt compression (Jiang 2023)
CLAUDE.md, AGENTS.md, copilot-instructions.md, cursor rules repository context files; instruction files
instruction budget; the agent "ignores" my file instruction density (Jaroslawicz 2025); distractibility
long data at the top, query at the end query-aware contextualization (Liu 2024)
XML tags against Markdown against JSON prompt formatting sensitivity (Sclar 2024)
progressive disclosure; skills; path-scoped rules selective loading of context
llms.txt; GEO no academic name; closest is retrieval-oriented site indexing