Haha uh yeah... that's why dogs get a Lyme disease vaccination every year and use advantage and front line and those sorts of things topically. Take your dog to the vet asap if he/she's not feeling too good. Lyme disease isn't anything to mess around with.
Yes indeed dogs can get sick and even die from Lyme disease. I believe lack of appetite can be an early sign. You should take him to a vet immediately. The sooner treatment starts the better.