I was looking at the dunlop crybaby classic and one has a fasel inductor and one doesn't. What does it do?
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It inducts fasel... durr!

Just kiddin' Lol. I have no idea, but i also would like to know this...

it makes a different sweep/sound. also, i wouldnt recomend the classic. one had a mecahnical problem and got stuck in down position, second one crackled whenever you used it. got the 535q and it works and sounds alot better.
It doesn't do anything different than any other inductor does really
It will sound a bit different than other wah inductors though. The stock inductor in the Original Crybaby can sound a little muddy in comparison to the red Fasel in the Classic. Dunlop also has a yellow Fasel which is a little more vintage sounding.

The hype behind the Fasel mainly comes early 70s Voxes and Crybabies having a Fasel inductor.