The authors propose a microeconomic approach to serviceprovisioning in ATM networks. The provisioning procedure consists of twoalgorithms, one executed by the network and the other by individualusers. The network offers directly for rent its bandwidth and buffers.Users purchase freely resources to meet their desired quality based ontheir own traffic parameters and delay requirements. The networkperiodically adjusts resource prices based on user requests monitored inthe previous period. They describe the networks adjustment scheme andusers' decision rule, and show that under the proposed price adjustmentscheme, in order to minimize their own service cost, individual userswill indeed request amounts of resources that optimize a measure ofoverall network performance. Since this approach does not require thenetwork to know user traffic and delay parameters, it does not mandatetraffic policing on the part of the network
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