Arp noted the correlation between low redshift galaxies and high redshift quasars. He concluded that the Hubble Constant isn't correct — there isn't a fixed rate at which all things in the Universe are expanding. It's even possible that the Universe isn't expanding at all, and that redshift is the result of some other process.
On observing that quasars seem to be concentrated along the minor axis of elliptical galaxies, Arp concluded that the quasars are being manufactured and ejected by the AGN.
Seeing instances of smaller galaxies containing quasars without the AGN necessary to manfacture them in his model, he went on to conclude that quasars can act as galactic seeds.
HA: the Quasar Gun