PLEASE PLEASE don't hit your dog with anything...A shape NO will do the trick...the tone change of your voice is all that is needed.
People aren't attacking you...all they see is you hitting your furbaby with news paper...and making her fearful of you.
And no...your dog doesn't know right from wrong...you have to teach that to her NOT disciplining her with a news paper. Positive Reinforcement and redirecting her attention makes for a much happier and confident pet. Please reconsider your actions.
Positive Reinforcement
As for the crate...Thats all she knows...its her "safe place" her den...never try and keep her out of it...You say she is a year old now...maybe you could leave the door open a day and night and see how she does with that while your at work and sleeping...if she has no potty accidents...GREAT!! Continue to leave the door open, let her have free run of the house...only way your gonna know if she is truely potty trained is to test her...I have a 6 1/2 month old Harley...he is doing so well with his potty training, he is hardly ever in his play yard anymore...but if he gets sleepy or scared he heads right to his play yard...thats his den a safe place...he loves it.
I'm not a big fan of the crate...I only use a crate for travel...so I have a doggie play yard...if you don't want your furbaby to have free run of the house maybe you could reconsider and use a play yard instead...so she is not in that crate while your at work all day but still confined and there is enough room for food/water/bed on one side and potty pads on the other side.
I ordered it online from Ebay they come in all sizes...Good luck with you baby.