Context-Engineering

When the context window fills up, the standard fix is to summarize the old turns and keep going. That summary is a lossy compression step, and the thing it silently drops is usually the one early constraint the agent needs a hundred turns later. Here’s why recency-based compaction fails, a simulation of how often the load-bearing fact survives, and the rule that actually protects it.

Treating the context window as append-only memory is how agents get slow, expensive, and quietly wrong. The fix is to run it like a cache with a budget and an eviction policy: decide what earns its tokens every turn. Here’s the cost math, the accuracy failure mode, and a working context manager.