Hi Mike,
I am a MSF RiderCoach and PTR coach (track day) at Mid-Ohio. If I understand your current riding status, you are here.
I know exactly what you are talking about from teaching my own kids and wife to ride. The panic simply freezes the rider in place. Frankly put, stay off public streets until you move past this.
You have some options...
1. Stop riding until you can complete the MSF course (best course of action)
2. Find a friend with a small scooter or dirt bike (50cc), learn basic throttle control/braking on that
2. Find yourself a trusted friend that can help you with the basics on the bike at silly slow speeds in a parking lot (until brake, clutch, throttle is understood)
You might say, "But I have no friends?" I will tell you hogwash... Find a local bike night in your area and go make some new ones or just post on facebook. I got a $10 spot that says one of your facebook friends can ride. Having met soooooooooo many riders over the years, I would have a hard time believing that you couldn't find one person that would be willing to help you get started.
We all start somewhere and it's nothing to be ashamed of or fear. In fact, it's imho... one of the best times in riding because everything is so fresh and new. Having said that though, we have even taken track riders OFF the track and put them in the parking lot to work on a skill or address a safety concern. It removes many risks and ensures a dry and debris free environment so the rider can focus on THEMSELVES without other distractions.
Just to share that your not alone. My wife still freezes up due to panic, my kids had it really bad too. I started their riding careers... on 4wheelers (with throttle tube mods vs thumb throttle). I also angled their wrist DOWN a little, so it was harder for them to "over accelerate." Hitting the fence at 7mph is better than hitting it at 50mph. :\ After a while, my son now drags pegs with me.
Good luck and keep at it, once you get over the hump, a whole new world of riding is coming your way.
Be safe out there!
ps... Now is the best time to get in the habit of gearing up. Despite what you might hear, good quality, well fitting gear actually makes the ride BETTER! The added confidence will also serve you very well while learning.