- This article presents a novel congestion-based pricing scheme for IP networks, termed Bounded Local Adaptive Packet Pricing (BLAPP). The BLAPP scheme enables IP users to limit their expenses on routing packets by enforcing a price limit in the packet's header. BLAPP extends the LAPP scheme in which payment is collected on a per-packet basis in each router on the packet' s path. In both protocols, each router changes its price for each service level in response to its congestion at a specific output port. Finally, the BLAPP scheme is analyzed using network simulations of traffic congestions. The analysis suggests that BLAPP exhibits a correlation between user expenses and QoS properties such as RTT, especially when the network is congested. Thus, a user may control his or her QoS using payments without having to allocate network resources on a per-session basis (e.g., RSVP protocol).