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Picasa, through my experience keeps all the originals in-place, and when you make edits, the edits are applied not to the image, but to a kind of "stored workflow" so the next time you open Picasa and look at the file, Picasa applies all the edits you made to the photo again. You can only "Save"...

I recently bought a Mac Mini with the Intel Core Duo. It sits next to my big Dell desktop at home - and I do almost everything on my Mac, except for City of Heroes (a game) and Picasa. I manage a huge pile of multimegabyte digital pictures and iPhoto wanted to duplicate all of my files...