The document discusses how the ectoderm and notochord inhibit the endoderm from expressing liver-specific genes during liver formation. It highlights the role of fox-a proteins, hhex, and prox1 in liver gene expression and notes that the loss of hhex can impair liver development. Additionally, it mentions that the ectoderm thickening and notochord mutants play crucial roles in blocking liver gene expression in the endoderm at early developmental stages.