Does a games designer need to know how to code?
A game designer doesn't need to know how to code, but it helps. He will be well-served if he or she understands the technical limitations of what can be achieved with code, and often will require the ability to do some sort of pseudo-coding. When I say pseudo-coding, I mean scripting. Often level designers are building levels, and the logic of the level is built around scripting. So you're saying, “When this happens then spawn these bad guys,” and, “When the player gets to this point I want this cut scene to play.” That's usually run using scripting, which can resemble code. That said, you don't absolutely have to know it. It is something you can learn on the job.