Ok, let's see if I can 'splain this for ya.....
The coefficient of expansion, meaning how much something expands or contracts for a given change in temperature, is much different for less dense Aluminum than it is for denser steel.
The VW engine case is made of aluminum and it expands slightly as it gets hot, meaning that the heads will move slightly farther apart as the engine warms up.
The VW engine designers wisely chose a specific aluminum alloy for the pushrods that compensates for the expansion coefficient of the case such that as the case expands, the gap at the rocker arm end of the push rods remains relatively constant. Pretty clever for 1938 metallurgy, if you ask me.
So what happens with the chromoly steel push rods? Well, they expand much less than aluminum pushrods so when the engine is cold the valve gap will be almost zero (if they are set to loose zero when cold). When the engine warms up and it grows a bit, the pushrod gap at the rocker arm slowly increases and then sits within a range about equal to the end gap of aluminum pushrods. This range depends on how hot the engine runs (say, between 200° to 230°F) but the gap gets greater as the engine gets hotter so, if the pushrod gap is loose zero there will always be a pushrod end gap when the engine gets warm, the valves should always close when they should and you should never get a burnt valve.
But why go to chromoly pushrods in the first place? Well, the VW engine guys never expected their engine to be using heavy duty (sometimes double) valve springs which requre lots more pressure to open and the OE VW pushrods couldn't take the stress, either mushrooming the ends or bending. Either way, they turned to junk (usually above 4,000 rpm). The fix was to use chromloy steel rods that could take the longitudinal stress, but required a little different operational approach because they expand much less than the engine case. In essence, the engine grows to an optimal (more or less) valve clearence as it heats up and the pushrods last the life of the engine.