PeterA-
The 8152-050 board is common to many diesels with an operating horn. The black wire is ground, and the red wire connects to the third rail rollers; the two pins connect to the speaker.
There are a few possibilities why the horn may not be working.
1. The sound activation button may be wired backwards to the track. When pressed the button adds a DC voltage to the tracks, causing the horn to sound. Since DC has polarity, wiring the button backwards will output the wrong polarity voltage (either negative DC or positive DC; I forget which). Interestingly this is why locomotives with a horn/whistle and bell require two sound buttons; one button provides the right DC voltage to trigger the horn/whistle, and the second button (being wired backwards per the diagram) provides the opposite DC voltage to trigger the bell sound.
2. The speaker should be rated for 16ohms; using an 8ohm speaker can result in damage to the speaker. Try testing the board with a different speaker.
3. The speaker is connected backwards; try reversing the leads on the board.
4. Poor connections - as these parts are very old (even new/old stock), it is possible that the connections need to be cleaned/polished to ensure good connectivity. Also check for broken wires or cold solder joints.
Hope this helps!
-John