No doubt about it, sim translates in many respects. Not only have they found it an indispensable tool for traditional race drivers, who use it extensively to determine their race lines, suspension settings and more, they have taken people who have only driven sim (some not even a street car much or at all, like Greger Huttu), and found that they were able to run race cars better and faster than non-sim drivers, and fairly on-par with a race driver. It is somewhat analogous to how dry firing is used extensively by pro rifle and pistol shooters in everything from competitive shooting to police and military.
This is not to say that it is a replacement for track time, but the fact that you have to be more attentive to visual input (e.g. parallax and sweep) and tactile feedback through the wheel makes it a lot easier when you get to the track and have g-force loading and associated dynamics to help determine driving reactions. Some top F1 drivers have asserted that they find the competition in sim racing more competitive than they sometimes find on the track. Although I was a bit surprise when I first read this, given the fact that some sim drivers spend more time behind a sim wheel than many racers can afford behind a real one.
I believe that once things like rear traction loss sim becomes more affordable and easier to integrate, many will find the transition even more fluid and useful.