On a serious note, I don't like baggies as on occasion they catch on the horn of the saddle. I don't put on the lycra to go to the store, but when on a serious ride, it works.
I find that my baggy shorts tend to ride down easily and lead to a cold back.
Proper riding has to be lycra, with either bib shorts or bib tights every time.
As Richard Hammond quoted in Top Gears bob sleigh topic a few years ago (.. race against Henning Solberg) I don´t want to die in tights!
.. but I admit hiding lycra under my "casual" biker outfit for the longer rides...
Never raced, never used SPD's but I always ride with a pair of Cannondale lycra shorts, either on their own or under Ron Hill Tracksters.
If the prospect of scaring the locals with 'sin-tight' Lycra is a concern then I have some Kona baggies I will wear over the top.
Torso wise I will usually ride with Helly Hansen Lifa tops under something or if its downright shitty then I always wear a Buffalo Teclite top cos it doesn't matter if its freezing cold or pissing down, you're warm regardless.
Fashion is irrelevant, it's gotta be practical....try riding 30-40 miles off road without proper shorts and you'll have no Crown Jewels left
Mainly lycra for me. I just bought my 1st pr of baggies last year, which turned out to be very comfortable, but its mainly a style thing. The group i ride with will be in baggies whenever possible but give into the lycra in the cold winter months as it really can't be beaten