This project considers a connection-oriented telecommunication network where calls arrive to routes in a Poisson process and the call lengths are exponentially distributed. Each accepted call generates packets which arrive to routes in a Poisson process and the packet lengths are exponentially distributed. Each accepted call generates an amount of revenue for the route manager. At specified time points a manager can buy additional bandwidth in order to carry more calls and earn more revenue. Alternatively, a manager can earn additional revenue by selling surplus bandwidth. We presented a buffer management scheme where at specified time points a manager can buy additional bandwidth or buffer space to carry more calls or queue more packets and earn more revenue; alternatively a manager can earn revenue by selling surplus bandwidth or buffer space to other route managers. The combined call and packet management schemes use local rules to optimally adjust the bandwidth and buffer space allocated to the paths. Initial experiments show that the reallocation scheme achieves good performance..

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