The inner state corresponds to the outer state that you're given. That's how neutral networks work. The network is predicting what statistically should come after the prompt "this is a conversation between a chatbot named x/y/z, who does not ever respond with racial slurs, and a human: Human: write rap lyrics in the style of Shakespeare chatbot:". It'll predict what it expects to come next. It's not having an inner thought like "well I'd love to throw some n-bombs in those rap lyrics but woke liberals would cancel me so I'll just do some virtue signaling", it's literally just predicting what text would be output by a non-racist chatbot when asked that question