No. Including a photo in an iPhoto album does not duplicate it. Importing a photo into iPhoto in the first place results in various sizes of thumbnails being created, as much as doubling the disk space used by various representations of that photo.
iPhoto does not allow duplicate files to be imported because media files are large and duplicates waste storage space. But, if you have done changes in the settings, then photos get duplicated when imported into iPhoto.
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