Regarding “Schooling itself could be less focused on what the report calls "transactional task completion" or a grade-based endgame and more focused on fostering curiosity and a desire to learn. Students will be less inclined to ask AI to do the work for them if they feel engaged by that work.”
I believe this is at the heart of the issue. If what is taught is mostly solving problems that require nothing more than rote memory or substituting values into memorized equations, then yes, students will use LLMs.
I agree some level of this brain dead work is necessary to build muscle/mental memory. However I believe if this is all they learn, they will be unprepared for university as at that level the problems poised will challenge why they are using that equation or if the problem is even solvable.