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The quantization and saturation error always exist in Space-borne SAR raw data compression process. The explicit formula on quantization and saturation error was not found in previous literatures, though much study has been executed. The analytical formulas of the error of quantization and saturation induced by Block Adaptive Quantization (BAQ) and Interception of High (IH) algorithms are deduced in this paper. The relationship between the standard deviation of input echo signal (SDIS) and the Signal-to-noise ratio (SNR) of these two algorithms is also given. Finally, the simulation test based on simulated SAR raw data and real data is executed to verify the work in this paper. The result of simulation test shows validity of our work which can provide a good criterion for choosing SAR raw data compression ratio parameter in engineering practice.