Very good Shadowpurser!! I shall endeavour to remember that trick!
The company i work for however, include a day or two (cant remember exactly) of 'Conflict Management' skills in the initial training, then every year about half a day included in the recurrent SEP's.
I find this very useful and im sure my colleagues do too.
The training basically includes learning ways in which to 'handle' awkward passengers pretty much the same as you have mentioned. We also learn certain 'breakaway' techniques should the occasion arise that we should need to use them, be it in work or not.
As you say, the key is to Empathise not Sympathise, and NEVER talk down to passengers (i have seen this done) as this will not help the situation atall. I treat most of my passengers as i would wish to be treated myself, with respect!