There are quite a few things that need to be done and levels aquired before you can get the Golden Child. Check out the guide section of the forum (and whether you want hints or full spoilers) to get your answers.
In VV1 there is no automatic way to keep track of parents and siblings. Some people have made charts, but once you get to the point in the game that you'll let them breed on their own, that gest to be more difficult. There is nothing harmful in the game that will come from breeding close relatives. (And in some games it is necessary if a disaster happens and only a few villagers remain.

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