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This article deals with the problem of estimating and updating the origin-destination matrix and link flows from traffic counts and its optimal location. A combination (bi-level) of an OD-pair matrix estimation model based on Bayesian networks, and a Wardrop-minimumvariance model, which identifies origins and destinations of link flows, is used to estimate OD-pair and unobserved link flows based on some observations of links and/or OD-pair flows. The Bayesian network model is also used to select the optimal number and locations of the links counters based on maximum correlation. Finally, the proposed methods are illustrated by their application to the Nguyen-Dupuis and the Ciudad Real networks.

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