HOSTS is in C:\WINDOWS\system32\drivers\etc
HOSTS is usually only used by people who are impatient, want
redundancy, or on an internal network. If your DNS server is working
then you dont really need to use this file. Go to Start | Run | type
cmd and hit enter. A black dos window should appear. In that window
type in "ipconfig" and if your ip address starts with a 0 or a 169
then you are not connected. If your ip address starts with a 192 a
172 or a 10 then you are probably using a router and probably just
need to power cycle everything including the router, your isp can
tell you how. Now type in "ping 66.218.71.198" and hit enter if you
get replies you are connected to the internet. Now type in "ping
yahoo.com" if you get replies now then your dns server is working.
If you are not able to get replies in either case then you probably
want to reinstall the drivers for your network card or modem.
If you are able to get replies in both cases then do these steps: Go
into Tools | Internet Options | Connections Tab, then remove all the
settings there where it says "dialup and virtual private networking".
Click on the LAN settings button below and make sure all that stuff is
*UNchecked*. Then go back to the connections tab and hit the setup
button and run the internet connection wizard again. At this point if
you dont know what to do then call your isp or local system admin
person and they will walk you through it.