Fredette's story should inspire kids to go to college, if for no other reason than because it goes to show that your dream job is not promised to you. Fredette actually played an average number of years in the league, all things considered, and he was very fortunate to have been a lottery pick. Most kids who's NBA career paths follow his don't even get the $8M guaranteed money. Kids should absolutely see Fredette as a cautionary tale: it's just dumb luck that he even got drafted as high as he did. Us passing on Kawhi Leonard to draft his is probably the difference between Fredette making $8M in three years, and making $2M in three years. And, let's not forget about the taxes: Fredette probably netted closer to $5M from his NBA earnings, which I would argue is certainly not enough for a twenty-six year-old to retire on.
I would certainly hope that we eventually end up with a lot fewer kids who put all of their eggs in the "Well, I'll just be a lottery pick, and be set for life" basket.