Andy, really excellent post, and as stated we could rattle on all day..... but heres my two cents worth !
I have instructed for the past 10 years, the last 4 with mainly ex military guys, and really you cannot get away from the quality of these guys.
Anyone who has been CFS trained or checked sets a yard stick for us Civi guys to follow. All the guys I work with are very happy to pass on their knowlege, they don't look down on my background, and of course always have the best stories to tell in the bar !
Are we civi's just as good ? ....... In alot of cases YES !, while we don't have the background or the resources your typical miliatary QFI has had, a hard working civi Instructor does a pretty good job, an least all my Instructors did, dispite being low time etc.
Instructing really comes down to a desire to TEACH ! All of us have seen (or come from time to time) a warn out grumpy old prick, be it military or civi trained !
Is interesting to note also gone are the days of all airline and display pilots being ex miliatary.