It's to do with how the creators of ARC-AGI defined intelligence. Chollet has said he thinks intelligence is how well you can operate in situations you have not encountered before. ARC-AGI measures how well LLMs operate in those exact situations.
To an extent, yes. Interdependent variables discovery and then hopefully systems modeling and navigating through such a system. If that's the case, then this is a simplistic version of it. How long until tests will involve playing a modern Zelda with quests and sidequests?
