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online are better than stores. reporter: retailers feel it s the best business in years a experts believe there is nowhere now to go but up. even the most pessimistic economists feel the job growth will be sustained. i think it can only get better. reporter: the other threat to consumer confidence is gridlock in washington. they say if lawmakers can overcome some of the policy differences, next year could be better for retailers. i m just thinking the deals just keep on coming because they must be good judging by what s going on behind you. reporter: absolutely. it s not just this store. we went all over bay street and emeryville and i mean, 75% off, 60% off, it s everywhere. thank you. governor brown says the key to convincing californians to raise their own taxes is to convince them that the alternative is worse. he is pushing a plan to raise an extra $7 billion a year. he wants to increase the state sales tax by half a percent and raise income taxes on peop

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