We present a general model of interdomain route selection to study interdomain traffic engineering. In this model, the routing of multiple destinations can be coordinated. Thus the model can capture general traffic engineering behaviors such as load balancing and link capacity constraints. We first identify potential routing instability and inefficiency of interdomain traffic engineering. We then derive a sufficient condition to guarantee convergence. We also show that the constraints on local policies imposed by business considerations in the Internet can guarantee stability without global coordination. Using realistic Internet topology, we evaluate the extent to which routing instability of interdomain traffic engineering can happen when the constraints are violated.