I have a little, but complicated question about the genetic power. I have an example:

Let's take a male dragon (Genetic Power Grade 0) and a female dragon (Genetic Power Grade 1). These two breed together and when the female gets more dominant genes into the offspring, the child takes the GP grade as well. When the male is more dominant, there isn't any GP.

The big question is: What happens when both parents with said GP grades are also level 50 at the same time?

http://beastkeeper.com/faq

Section: Genetics and breeding questions

Question: 3. What is Genetic Power? How do my pets get it?

Examples 2 and 3 should answer your question; from my understanding, it follows Rules 1 to 3

This guide should also answer your question: http://beastkeeper.com/thread/8720 (Hero means level 50)

Anyways, to bluntly answer your question, the baby would be GP2 if the GP1 parent passes on 7, or more, dominant genes, otherwise it'll be GP1.