Last Card Drawn

So this came up the other night in a game. My son had only one card left in his deck and one prise card left. His active pokemon can knock out my wife's active pokemon in that turn. So ...

So how does this work:

Since his deck is gone, even though he was able to draw - he loses the game


or

Since he could draw all that he needed to draw that turn, he plays through that turn and wins the game



I went with the second, but which is really correct?

If you cannot draw a card, during the draw step due to having no cards in your deck. You lose.
However if you draw the final card in your deck THAT turn and Win. You win the game.

Cool that is how I understood what I read in the rules. Glad I was right since that call decided the game.

That has cleared that up for myself also. I had been wondering on that too. :-D