I. Introduction
Sensor location optimization for Origin-destination (OD) demand estimation is crucial for cost-effective OD demand estimation. Traditional ways to obtain OD demand of a transportation network, such as roadside interviews and postcard surveys, are costly, time consuming, and labor intensive. Sensors, such as loop detectors and Automatic Vehicle Identifications (AVIs), located in a transportation network is able to collect link flow information or path flow information. This provides a cost-effective way to obtain OD demand and motivates the development of some effective OD demand estimation method, such as entropy maximization method [1], generalized least squares method [2] and deep learning method [3]. Sensor location significantly affects the accuracy of OD demand estimation from two ways: 1) sensor location affects the quality of the solution to an OD demand estimation model, given that the input data is correctly observed; 2) different sensor location decisions usually associate with different errors of the input data. To reduce the errors caused by the first factor, Yang et al. proposed the concept of “Maximum Possible Relative Error” to evaluate the quality of the solution to an OD demand estimation model [4]. Built on this concept, rules and corresponding models for OD-demand-estimation-oriented sensor location optimization are proposed in the literatures [5], [6], [7]. To reduce the errors induced by the second factor, OD-demand-estimation-oriented sensor location models are developed to minimize the input data errors, such as the error of priori route flow information [8], [9], the error of prior OD demand [10], and the measurement error of collected data [11].