I often imagine an observer. Like when I look in the mirror, I wonder if some one is observing me observing myself. Then I wonder why I would imagine that! An "observer" IS only an imagination created by one's own thoughts!
BTW When children are in their sensitive period of development from birth to age six, it is important for them to not be bombarded with our consciousness of them. It causes them to get caught up in our awareness of them and they loose the focus operating from within them... it is an unconscious focus, (which is required for the development of the psychic embryo.) For this reason, It is very important for adults to respect the inner development of the child and not bombard them too much during this period.