Livedata with large dataset in Room DB - Does the whole dataset get loaded from database when onChanged() gets called?

Question

I have a Room entity as so:

@Entity(tableName = "user")
public class User {

    @PrimaryKey
    @ColumnInfo(name = "id")
    private int id;

    @ColumnInfo(name = "name")
    private String name;

    @ColumnInfo(name = "age")
    private int age;

    public User() {}

    public User(int id, String name, int age) {
        this.id = id;
        this.name = name;
        this.age = age;
    }

    public int getId() {
        return id;
    }

    public void setId(int id) {
        this.id = id;
    }

    public String getName() {
        return name;
    }

    public void setName(String name) {
        this.name = name;
    }

    public int getAge() {
        return age;
    }

    public void setAge(int age) {
        this.age = age;
    }
}

and ViewModel as so:

public class MainViewModel extends AndroidViewModel {
    
    public MainViewModel(@NonNull @NotNull Application application) {
        super(application);
    }

    public LiveData<List<User>> fetchLiveUsers() {
        return repository.fetchUsers();
    }
    
}

and observing the LiveData as so:

mainViewModel
        .fetchLiveUsers()
        .observe(getViewLifecycleOwner(), new Observer<List<User>>() {
            @Override
            public void onChanged(List<User> userList) {
                if(userList != null)
                    usersAdapter.setModelsList(userList);
            }
        });

When I have a large dataset of users, such as 1000+ users, and I'm observing this live data, any changes in the database will trigger the onChanged() method.

Does this mean that each time onChanged() is called, the 1000+ users get loaded from the Room database, or does the updated user only get loaded from the database to update the current User list being observed by livedata?