Yes,you can.
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you trade eggs.
Yes.
Yes, there is a special option in the union room
trade the bad egg to someone else. or if you are using an emulator, trade the bad eggs to another profile of your own that you don't use and once it is full of bad eggs, delete that profile. I hope this helps
yes you can transfer a egg by link cable in the versions gold/silver/crystal. but u cant trade eggs to red/blue/yellow/green.