  How does scaling the number of parameters in large language models (LLMs)
affect their core capabilities? We study two natural scaling techniques --
weight pruning and simply training a smaller or larger model, which we refer to
as dense scaling -- and their effects on two core capabilities of LLMs: (a)
recalling facts presented during pre-training and (b) processing information
presented in-context during inference. By curating a suite of tasks that help
disentangle these two capabilities, we find a striking difference in how these
two abilities evolve due to scaling. Reducing the model size by more than 30\%
(via either scaling approach) significantly decreases the ability to recall
facts seen in pre-training. Yet, a 60--70\% reduction largely preserves the
various ways the model can process in-context information, ranging from
retrieving answers from a long context to learning parameterized functions from
in-context exemplars. The fact that both dense scaling and weight pruning
exhibit this behavior suggests that scaling model size has an inherently
disparate effect on fact recall and in-context learning.
