[zephen53]

i'm just a bit confused about whether the C=O group withdraws or donates electrons to the benzene ring

thanks for any help

[spirochete]

Yes that's correct.  Hydroxyacetophenone being more acidic is consistent with the C=O group being electron withdrawing.  The conjugate base is stabilized by having some of the negative charge delocalized onto the C=O oxygen. 

The effect will be much greater with para and ortho substitution, but some effect is still present in the meta position.  Can you see why?

[zephen53]

would the group on the meta position be less effective because resonance doesnt occur when the group is on the meta?

[spirochete]

That's right.  It has a much smaller effect because it still is electron withdrawing inductively (pulls e- density through sigma bonds).