I think I have a different perspective than what I have been reading here.

The airlines are obviously paying a lot more for fuel, just like we are. I would rather they charge extra for some things and let me make the choice to pay the extra rather than raising the fares to cover the fuel costs. So far SW is still allowing 2, but if they start charging I will choose whether to take 4 bags for the 2 of us, or cut back on our gear. If they raise fares we have not choice but to pay or don't fly.
Maybe a bit of a semantics issue but technically they are "raising the fares".
Before, they charged $X for you to fly between destinations and with that you got to take 2 checked items for no charge.
Now they are charging $X for you to fly between destinations and with that you get to take 1 checked item for no charge. And you can add $25 (or whatever it is) to take the 2nd checked item. So now it is $X + $25 for the same "apples".
It's kinda like ordering a preset meal. Use McDonald's combos as an example.
For $X you get a burger, fries and a pop.
Now they are going to charge you the same $X to get the burger and fries, but the pop is going to cost you more.
The initial price is still the same that you pay out, but the amount of "bang for your dollar" has gone down.
The difference is, if that thing you lose is worth, to you, what a price increase might have been. In this case, raising fares by $25 or losing a piece of free checked luggage. To you, going with only 1 piece of checked luggage is worth the lower price on the fares.
What I would like to know is if these same airlines are going to further reduce the fares by $25 if you choose to go with no checked luggage?
I know Air Canada lets you bring 2 pieces of checked luggage, but if you choose to take no luggage (just carry ons) you can reduce your fare by $5 each way.