This paper provides a model-based method for analysis and hypothesis testing for paired data where one source of data has to be validated against another source of data that contains subjective and dynamic errors. This study deals with human-observed flow counts collected from traffic videos of freeway cameras. The available videos are mainly used for the purpose of manual observation by transportation personnel in case of emergency. This amounts to a varying inconsistency of the quality of the videos, which presents an additional challenge when analyzing the data. Video processing cannot be performed due to the mentioned issues with regard to the video quality. The processing has to be manually performed by humans who unfortunately have an...