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In order to achieve QoS guaranteed wireless services, efficient utilization of channel resources become a fundamental issue. A number of channel allocation schemes have been proposed to fully utilize the wireless channels that include; Complete Sharing (CS), Complete partitioning (CP) and Hybrid sharing (HS) schemes. In CP the use of the un-utilized channels of one class of traffic cannot be used by other class of users and therefore the capacity is wasted. In CS, during unbalanced loads, the class of users with low traffic suffer resource starvation. In HS scheme the QoS for each class is guaranteed but at the expense of inefficient total system utilization. In this study, we propose and analyze a channel allocation scheme where channels are prioritized for both handoff and new calls rather than strict reservation or open access. In this scheme, handoff calls can access channels prioritized for new calls when not in use and new calls can also access the channels prioritized for handoff when not in use. Our proposed Prioritized Sharing (PS) scheme takes into account the weaknesses in CP and CS schemes. We model the PS scheme using two dimensional continuous time Markov chains. The analytical results indicate that the Prioritized Sharing scheme achieves a better system utilization compared to other schemes.