As a club instructor I find the simulator a tool with limitations, if used properly it can be very productive.

A simulator used improperly can be the cause of many bad habits that have to be corrected due to unsupervised flying. Problems like over controlling ie. banging the sticks around from premature simulator aerobatics. Improper use of elevator when entering and exiting turns to mention some issues. That coupled with getting bored adds the temptation of flying airplanes (although fun) well above the students skill level resulting more possible negative training.

Fact is there is NO reset button at the field, so going wild with the simulator sometimes lessens the initial training value. I use the simulator to assign specific homework on certain issues as they present themselves. As a pilot enters more advanced flying a simulator allows practice with new maneuvers with no risk to the airplane. Making the simulator in that case a great tool.

JMHO