The correct statement is: Magnitude measures the energy released by the earthquake, while intensity measures the amount of damage.
Magnitude is a quantitative measure of the energy released at the source of the earthquake, while intensity is a qualitative measure of the effects and damage caused by the earthquake at specific locations. Thus, it's possible for an earthquake to have a high magnitude (indicating a large release of energy) but low intensity (indicating minimal damage, possibly due to a deep focus or being in a sparsely populated area).