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This paper studies hierarchical configuration of distributed systems for achieving optimized system performance. A distributed system consists of a collection of local processes which are distributed over the network of processors and cooperate to perform some functions. An hierarchical approach is to group and organize the distributed processes into a logical hierarchy of multiple levels, so as to coordinate the local computation/control activities to improve the overall system performance. It has been proposed as an effective way to solve various problems in distributed computing, such as distributed monitoring, resource scheduling, and network routing.