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This is a reminder to replace your Lambda (oxygen) sensor. In the early days (1976 through '86 or thereabouts), the sensors were said to have a life expectancy of 30,000 miles. Art's post shows you how to disable the reminder which is triggered by the passing of 30K since the last time that it was reset. Illumination of the light does not necessarily indicate a malfunction.
Conventional wisdom these days is that oxygen sensors often last significantly longer than 30K if the engine is running well (oil in the exhaust gasses from a rich mixture or worn top end can foul the sensor). Still, if you do not know when it was last replaced, they are about $40 for a Bosch universal, single-wire sensor and should be on your list of periodic "tune up" items - particularly so if a smog test is on your horizon. Takes perhaps 10 minutes to replace. You will need an appropriate sized socket extension or just go to an auto parts store and buy an oxygen sensor puller (a socket extension made specifically for this).
The old K-jet cars rely more on the o2 sensor than LH jet cars and will definitely run funky if the sensor is "bad." On the other hand, sensors deteriorate with age - I have seen them test within spec on a multimeter but their response time was sluggish. Replaced with a new sensor and the car did run much better.
Thin, white smoke is just condensation...water in the exhaust system heating up and 'boiling' off, so to speak.
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