If people want subways, then they should ante up and stop being reluctant to pay for them. Any scent of a tax hike or anything viewed as a "cash grab" tends to scare people in the city.
Want subways? Then support road tolls, higher property taxes and other revenue streams that could help fund it. Write your MP and demand that Toronto gets more from the federal Gas Tax Fund. Write your councillor and demand that subsidies to the TTC be increased. Because as much as we'd like to have a comprehensive subway system, it's not currently affordable, especially when every level of government is trying to "tighten the belt".
In regards to the LRT - it's a much more cost effective solution and better suited to the proposed routes. And it will be a separated right of way, with existing lanes staying intact, so the argument of it adding to congestion may not be correct (we'll ultimately see if this prediction is right when they are actually built and operating). If anything, it should be taking vehicles off the road when people see that it is more cost effective then taking the car.
Oh, and get the Airport train running ASAP. Almost any major city has a rail link to their airport, and this is long overdue. Increase frequency on the major bus routes (ahem, Dufferin), and find a solution to stop the "bunching" (ex. when a bus is scheduled to arrive every four minutes, but instead five buses arrive every twenty minutes). Improve surface connections at subway stops.