FFF,
The whole issue of instructing and paying attention to everything else is an interesting one...especially for us newish instructors. I can use the excuse that the R22 is pretty unstable and I sometimes have to have the fastest reflexes in the world to stop students killing me, but even so, I can't believe how often I have no idea where I am, even in the local area. I've missed radio calls too. As for noticing what's happening to another aircraft on the ground, I'm fairly sure I wouldn't have seen it either. I presume that as with most things in aviation this gets easier with practice. But for me, it hasn't yet.