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I'm pretty far "North" (in Maine), and use and hear "ma'am" quite frequently, without any insult implied or taken. I generally use of to speak to strangers who appear to be adults, and specifically those that are married and/or have children, whereas for a younger woman, I would probably use "Miss" instead. I would also use "Sir" for an adult man, and "Young Man" for a teen or younger. All of these terms are usually used in conjunction with "Excuse me" and "Thank You." "Excuse me, Ma'am, but you just dropped this $5 bill."; "Thank you very much for holding the door for me, Sir. I appreciate it!".
But back to the OP's question- my son's girlfriend, at age 20-something, would be more than welcome to call me by my first name. I have no need to feel dominance over another adult simply because I am older than they are, and would consider them an equal in that capacity. If *they* wanted to call me Ms. Smile, that's all well and good, but I wouldn't expect or ask them to. And they would not call me Mom or Aunt because I am neither their mother or their aunt and I don't do honorific titles like that.
My son's friends called me Ms. (my first name). They were too young to call me by just my name without an honorific. They were raised to call ladies Mam or Mrs/Ms. They would be uncomfortable referring to me on solely a first name basis. This seemed a good compromise.
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