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It does but not in a way that is visible to the eye as it's a reasonbly . What format is the original in? Formats such as GIF are high-compression "lossy" formats so the compression is more obvious. If you do small scale editing you'll notice the quality dropout as the image will appear blurred and then just pixels at a higher zoom. Then it's a headache.

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Q: During JPEG compression some data was discarded. Why it does not affect the overall quality of an image?
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