A report on the financial position of Ontario universities continues and extends a pattern of analysis that has been developed over many years by the Council of Ontario Universities. It reviews trends over time and makes comparisons, among different sectors in Ontario and with other jurisdictions, to put into perspective the adequacy of funding levels available to universities in the province. Data on the financial position of universities in Ontario are grouped into the following categories: universities as a priority in Ontario; interprovincial comparisons; comparisons with the United States; impact on university spending patterns; Ontario government financial resources; and the economic benefits derived from university timing. Figures and tables include the following information: index of expenditures per client served in Ontario 1977-78 to 1989-90; transfer payments to medical doctors, universities and faculty 1977-78 and 1988-89; capital formation and capital stock, buildings; Ontario universities' share of provincial budgetary expenditures; interprovincial comparisons of university financing 1986-87; and salaries and wages, Ontario universities 1977-78 to 1987-88. Some of the results indicate: the government's total expenditures have increased at a rate a third faster than its grants to universities; tuition fees are 70% or 80% higher at U.S. public universities than Ontario universities; and Ontario can afford to invest more in its universities. An appendix provides an update of the Ontario university non-salary price index. (SM)