As has been stated simulators though good for procedures and doing things you wouldn't want to try in a real aircraft, they do however not feel like a real aircraft (767, and 737 3/4/and 800 sims that I've flown) . You don't get that little feeling of sink as you cross the river off 07 in Syd or any other multitude of little things make up real flying. Sims have their place for sure and an increased role is probably a good thing. But to reduce actual flying to 10 hours or something is BAD.
How do you do a PFL in a sim? Computer terrain is just not good enough to be able to do things like this.
The other thing that never gets really replicated in a Sim is the Comms side. You have one instructor playing the role of ATC etc, you don't get all the radio traffic that makes up a flight.