I was looking hard to see how responsive the controller actually is and you can't really tell. So I looked at their web page
http://www.xbox.com/en-AU/kinect/default.htm
and downloaded the promotional video which is 2 minutes long aaaand still can't really tell - the camera is either on the kiddies playing, or on the screen, but rarely both. From what little you do see, it appears to be highly intuitive though.