Baptism: When? Who? Why?

I have recently been working through the issues surrounding the sacrament of baptism in a more deliberate fashion than I have had the opportunity to do so before, and I believe I have come to a fairly settled disposition concerning what, in my view, is right and proper practice.  I would like to briefly state my conclusions and hear your reactions.

In summary, it seems to me that the classical Christian faith (that is, the consensual voice of the Church throughout time and space) has taught, in line with the apostolic witness and the Scriptures the apostles composed, that baptism is the Christian sacrament of "initiation."  That is, properly understood and performed, baptism marks the beginning of a person's full communion within the Church (and, as a result, in a particular, local manifestation of church).  It is also the sacrament that signifies the grace received at conversion/initial salvation/whatever-else you want to call it.

As I understand it, baptism does not necessarily convey God's grace (in other words, contrary to the popular Roman Catholic understanding, I do not believe that baptism in itself secures ones salvation).  Baptism does, however, create a sort of "sacred space" in which God regularly chooses, out of his own freedom, to impart grace to the believer.

With this understanding, baptism is properly performed in either one of two cases: (1) when a confessing adult accepts God's pardon for their sin and seeks, in faith, to proclaim their conversion to the Church; and (2) when Christian parents desire to baptize their infant with the confidence that when the child has come to the "age of accountability" (whenever that may be), (s)he will choose to make his/her own profession of faith through some sort of confirmation rite.  I believe that an infant baptism without this later confirmation is an incomplete sacrament since baptism signifies saving faith--something an infant is incapable of, even while (s)he is covered by God's grace in his/her years of innocence.  (That does not mean, however, that an infant baptized but not confirmed in unsaved, since saving grace is not necessarily tied to the sacrament.  It is faith, of which the sacrament is a sign, that saves.)   

For two excellent articles--one in defense of infant baptism, the other in defense of infant dedication--see the two links at the bottom of this post.

I have found these issues confusing in the past, but have had time recently to work through them diligently and in conversation with the broad tradition of the Church.  Perhaps I've said nothing that is all that unfamiliar to you--and I honestly hope that what I have said is not innovative in the least--but I am interested in your responses.  Where do you stand on the issues involved?  What is baptism, in your view?  Who should or should not be baptized?  Why or why not?

Please join the discussion.  As always, any and all comments/questions/concerns are welcome provided they are presented in a kindly manner.  God bless!

For a well-written defense of infant baptism by ONU Professor, Dr. Mark Quanstrom, click HERE.
For a well-written defense of infant dedication over against infant baptism by ONU Professor, Dr. Carl Leth, click HERE.