breeding dogs with their family?

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I have this question because my neighbords have dogs and one of hte dog had puppies but one of them is not ok. He those not know how to walk or eat by him self and the other three seem ok. But the mom got pregnent from one of her own kids that she had before form another dog. And I was told that when one dog gets pregnant from a close relative the puppies might be borned with some thing bad or they might not survive a long time. I am really interesting in knowing because I have a dog that my other neighbord gave me and she is on her days to get pregnant. But one of my neibors has what I think they might be like cousins to my dog and my other meighbord has the dad, and brother and also some new step brothers. I don't want her to get pregnant right now but she those wonder on some ocations and I jsut want to make sure if she those become pregnant is it going to be ok. I try so hard to keep her inside when she is on her days because I am scared that she might get pregnant and I also don't want the babys to be sick.