We compare the properties of three-body systems obtained with two-body pote
ntials with Pauli forbidden states and with the corresponding phase equival
ent two-body potentials. In the first case the forbidden states are explici
tly excluded in the calculation. Differences arise due to the off-shell pro
perties of these on-shell equivalent potentials. We use the adiabatic hyper
spherical method to formulate a practical prescription to exclude Pauli for
bidden states in three-body calculations. Schematic as well as realistic po
tentials are used. Almost indistinguishable results are obtained. (C) 1999
Elsevier Science B.V.