Agreed that AQ is a monster in this spot, snap shove for me if I'm < 10bb.
When you're getting this short, you really should be playing shove or fold. No 3x raising here (and certainly no limping) unless you're trying to slowplay AA to eke out some extra value or attract a shove instead of folding everyone out, but I'm typically just shoving there too.
When you're playing shove or fold poker, position has much less relevance because there's no post-flop decisions. You may not want to shove light into heavy action in front of you, but depending on my reads and the raiser's stack sizes, I might shove into them anyway (certainly if I'm tasting felt). If I'm first to act or behind limpers then I'm usually open-shoving with middle pair and 2 paint cards, or shoving behind with any big pair or AK/AQ, no matter my position.
Am I incorrect in loosening up my raising/calling requirements with a lower M? Am I being overly aggressive?
No, that's the whole idea. You generally start out tight. Maybe see a lot of cheap flops when the blinds are low, and practice good pot control when you do get involved. But as the blinds increase, you have to loosen up or be eaten away. I suggest you read up on Harrington's concept of inflection points (vol 2 of HoH). When your M enters the yellow (10-20) and orange (5-10) zones, you stop playing baby pairs and small suited connectors, but otherwise open up your starting range and ramp up your aggression more than usual (unless you're already a maniac). Then should you fall into the red zone, you go back to shoving any pair again. Of course like anything else in poker, you also have to consider all the usual factors (table image, stack sizes, etc.) and adjust accordingly.
Oh, and don't be results oriented. If you always strive to make the +EV play, then you will win in the long run.