Does dragging transform controls lower image quality?

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i making banner collage of different images on it, , have been dragging images make them smaller , larger transform controls. doing this, lower quality of image when scale make smaller image , drag make image larger? know scaling image larger original size reduce quality, if make smaller bigger reduce it?

 

[all upper case changed sentence case mod]

yes, time transform image, compromises quality. way around use smart objects. can resize , not destroy original image in layer.



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