This has been an interesting read. Obviously there are some 'perspectives' from both sides of the line.

I've often been chastised by my fellow instructors for waxing too philosophic, that's ok, as long as the students find it useful.

As has already been voiced on the related thread, Communication is key.... and the onus is not just on the instructor to communicate.
Using the previous example, If you're feeling gun-shy, let me know... I was probably pre-occupied with another student during your previous mishaps...

What's more, don't be too uptight, a little ribbing is a good way to let someone know they're being adopted into the fraternity.

And yes, even though your instructor is quite capable, crashes will still happen, especially when you start doing your own low work, there is very little time to make a save on approach. When this happens it's a very awkward time and it's hard to know what to say or how to say it. I had one student physically threaten me a few years back when he failed to recover his own plane during his wings test.