[Disclaimer: this post was created merely as a personal guideline/reminder]
Want to develop MultiTouch on Windows 7 or Windows 7 Phone but you don’t have either a multitouch panel or a Windows Phone 7 device?
The first option is to use a great library hosted on Codeplex called Multi-Touch Vista (link: http://multitouchvista.codeplex.com/). With this library, you can install a multitouch driver so that you can easily use more than one mouse devices (or a mouse and a trackpad, for that matter) to simulate multitouch. You can find lots of videos on the codeplex page of the project, and you can use the great directions listed here: http://michaelsync.net/2010/04/06/step-by-step-tutorial-installing-multi-touch-simulator-for-silverlight-phone-7 in order to test it on the Windows Phone 7 emulator.
Another option is to use a great utility from Office Labs called Touchless. As from their description, Touchless is a”webcam multi-touch SDK”. In fact, it uses your webcam to simulate movement and clicks. Here is the link: http://www.officelabs.com/Lists/Posts/Post.aspx?List=3d0ec20d%2D058d%2D4333%2D813a%2Debbcf0846655&ID=61