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The modeling of wind farm and wake effect for the use in a power system simulation was studied. First, the modeling for wind farm was studied. Parameter equivalent and aggregation modeling were introduced. Then the wake effect was modeled. The simple Jenson wake effect model, the wake effect with wind speed sheer model and the detail wake effect model with the detail shade areas of the upstream wind turbines were discussed respectively. Based on the above wind farm and wake effect models, four kinds of wind farms in one wind region of China were discussed. Simulation of the power system with the four wind farms connected was studied. The simulation results were presented. The conclusion is that the wind farm and wake effect models can meet the need in the power system simulation with respect to the measured power generated by the studied wind farms.