The DEEP2 project will obtain redshifts for \sim 60,000 galaxies between z \simeq 0.7–1.5 in a comoving volume of roughly 7 10 ^ { 6 } Mpc ^ { 3 } h ^ { -3 } for a \Lambda CDM universe . The survey will map four separate 2 ^ { \circ } by 0.5 ^ { \circ } strips of the sky . To study the expected clustering within the survey volume , we have constructed mock galaxy catalogs from the GIF and Hubble Volume simulations developed by the Virgo consortium . We present two- and three-point correlation analyses of these mock galaxy catalogs to test how well we will measure these statistics , particularly in the presence of selection biases which will limit the surface density of galaxies which we can select for spectroscopy . We find that although the projected angular two-point correlation function w ( \theta ) is strongly affected , neither the two-point nor three-point correlation functions , \xi ( r ) and \zeta ( r ) , are significantly compromised . We will be able to make simple corrections to account for the small amount of bias introduced . We quantify the expected redshift distortions due to random orbital velocities of galaxies within groups and clusters ( “ fingers of god ” ) on small scales of \sim 1 Mpc h ^ { -1 } using the pairwise velocity dispersion \sigma _ { 12 } and galaxy-weighted velocity dispersion \sigma _ { 1 } . We are able to measure \sigma _ { 1 } to a precision of \sim 10 % . We also estimate the expected large-scale coherent infall of galaxies due to supercluster formation ( “ Kaiser effect ” ) , as determined by the quadrupole-to-monopole ratio \xi _ { 2 } / \xi _ { 0 } of \xi ( r _ { p } , \pi ) . From this measure we will be able to constrain \beta to within \sim 0.1 at z =1 . For the DEEP2 survey we will combine the correlation statistics with galaxy observables such as spectral type , morphology , absolute luminosity , and linewidth to enable a measure of the relative biases in different galaxy types . Here we use a counts-in-cells analysis to measure \sigma _ { 8 } as a function of redshift and determine the relative bias between galaxy samples based on absolute luminosity . We expect to measure \sigma _ { 8 } to within 10 % and detect the evolution of relative bias with redshift at the 4–5 \sigma level , with more precise measurements for the brighter galaxies in our survey .