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LangWatch16 min read

The Context Tax: When to Compact Your Coding Agent

We traced 287,748 Claude Code API calls and 873 real compactions. Context cost grows as size^2.5: run compaction between 250k and 450k tokens.

By Rogerio ChavesLangWatch Blog
The Context Tax: When to Compact Your Coding Agent

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Originally published by LangWatch Blog on Aug 2, 2026.

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