prior to july 1, san francisco had the sales tax rate of 9.5%. the city decreased by 1% when it allowed to expire. san francisco only gets a fraction of this 8.5% sales tax. 7.25% goes to this day, the city receiving about 1%. -- goes to the state, the city receiving about 1%. i'm here with -- thank you for being here. please tell us why you are in favor of proposition g. >> i believe the low income children, seniors, firefighters, and police officers are worth half a cent. it will restore funding that was cut from these programs. proposition g " restore $30 million so the children will have a better start in life and a better chance of succeeding in high school and college. >> san francisco has one of the highest sales tax rates. are you concerned that the passage will affect our tourism or adversely affect the economics? >> i am not concerned with that at all. tourism accounts for 40% of the revenue. it will still be lower than the sales tax prior to july 1 of this year. >> my understanding is that it will be eliminated if the state raise the s

cain's call for national sales tax on top of the local and national sales taxes troubles conservatives. the influential president says 9-9-9 is catchy, but it won't work, won't pass and could lead to higher taxes. >> if you have with the incomes tax one needle in your arm drawing blood why would you take three needles to stick them in on the promise they'll only take as much as they used to take? the danger is they drain you three times as fast. >> reporter: mississippi governor haley barbour seriously considered a run of his own and said if the election were today his wife would probably vote for cain. by contrast, texas governor rick perry's wife said every time she hears 9-9 of 49 she wants to call 911. carl cameron. fox news. >> bret: to talk more is economist art laffer, former advisor to president ronald reagan and joins us from new york. thank you for being here. >> it's a pleasure. >> bret: are you a supporter of 9-9-9? >> i think 9-9-9 is a wonderful plan. a lot of candidates have good plan for tax reform but i love the 9-9-9 plan and i think it's a great first step. >> bret:

came in softer, ipod sales came in softer, regardless of the fact that the ipad sales beat by 156%. that is a big number it terms of revenue but investers aren't good enough with beating management guidance. they want consensus to really beat and strong guidance going forward. i think what will happen with apple especially with the new c.e.o., the next quarter or two will be showing me quarters and the charts are going to have to fall in line with the fundamentals. >> susie: let's skip ahead to amazon. they are going to be reporting tomorrow. we are expecting some good numbers but you don't know. the stock as you see on this chart has been rising. it was up today, up last week. so what are your predictions for what happens tomorrow? >> i think it follows the same pattern that it did like ibm did as well. this thing is bid up way into the print. even with a $12 tumble it took last wednesday i think valuations is incredibly rich and what investors are going to look for when the company reports is how fire sales are guided. what is the company saying. they better be really strong if co

retail sales. and, while it has grown steadily in the last decade, some had higher hopes for the sector. retail expert joe peltier says internet sales could grow to 20% of the total retail pie in the next decade. >> as the demographics grow up with this kind of technology, i think you'll find more and more people will trust it for those things and it will start to spread across the demographic. i don't know if it will be 20 or 25, but it's very likely it could get to that. >> reporter: experts say iphones, smartphones and tablets will also help drive people to the internet for purchases. after all, why wait in long lines this holiday season when you can shop on line ? suzanne pratt, "nightly business report," new york. >> tom: the autumn rally continued today with broad-based gains. here's tonight's "market focus." we saw buyers move back into the market with more reassuring words from european leaders regarding efforts to avoid a messy debt default. the dow started the day adding to its recent gai

tax, you're looking at a 15% sales tax. that could cause sticker shock and actually pull back consumers from buying goods which then of course hurts the economy. >> okay. you raised two questions here. let me take them one at a time. the first one is the sales tax in the state of florida or any other state, i'm not addressing that. that's going to be there whether we have the old system or the new system. so let's not muddy the water with that. that's a totally situation. now, when you look at the sales tax and the fact that we are taking out imbedded tacks that are built into the goods and services in this country, prices will not go up. they will not go up. >> but will they go down? >> people who are stretching that -- they will probably go down. we simply can't predict how much they would go down. remember, in everything that we buy today, there areembedded taxes. one of the great features on the first nine, a business can deduct its purchases and capital investment. only purchases made from companies here in the united