The term “parrot” is used to imply inference by something akin to a look-up table, specifically it is used to indicate poor out-of-sample performance and a lack of a proper world model. The optimization objective is irrelevant when determining the generalization performance of a model and when judging whether it can reason beyond looking up answers in a table.
As the user above noted, it is now quite well established that GPT-4 has impressive out-of-sample performance which can be explained by it possessing an actual model of the world and not being a “parrot”.