The little blue and yellow training device is called "The Link Trainer". Less affectionately known as "The Blue Meany".
It was used to teach instrument flying.
You got locked into it and sealed so it was totally dark with only your instruments lighted.
You were supposed to fly a course using only flight instruments while your instructor followed your progress on a small map platform which had a little remotely controlled car which represented your "aircraft".

The Link Trainer was invented, developed and manufactured by Edwin Link. The same man who invented the diving bell.