set div height using jquery (stretch div height)

Off the top of my head:

$('#content').height(
    $(window).height() - $('#header').height() - $('#footer').height()
);

Is that what you mean?

The correct way to do this is with good-old CSS:

#content{
    width:100%;
    position:absolute;
    top:35px;
    bottom:35px;
}

And the bonus is that you don't need to attach to the window.onresize event! Everything will adjust as the document reflows. All for the low-low price of four lines of CSS!

well you can do this:

$(function(){

    var $header = $('#header');
    var $footer = $('#footer');
    var $content = $('#content');
    var $window = $(window).on('resize', function(){
       var height = $(this).height() - $header.height() + $footer.height();
       $content.height(height);
    }).trigger('resize'); //on page load

});

see fiddle here: http://jsfiddle.net/maniator/JVKbR/
demo: http://jsfiddle.net/maniator/JVKbR/show/