Absolutely. You've seen a dog show fear? Happiness by wagging their tale? Blissfulness at a tummy rub? They may not show it the way we understand but they feel everything. They also have memories. How else do they know how to get home after disappearing for two days? Or remember it's outdoors where they need to relieve themselves. Or it's not OK to dig into the garbage? *s* Happiest of holidays to you.
Yes !! Especially collies ! I know my cousin has a dog who looks like he actually smiles when he gets so excited to greet owners and relatives he knows !