An ejector can transform the expansion energy of the driving flow into the pressure build-up energy of the suction flow. Therefore, by utilizing the ejector instead of the expansion valve for the absorption cycle, the performance of the cycle can be greatly improved. Until now, the performance of the absorption cycle with the ejector has not been examined sufficiently. Therefore, this paper constructs the simulation model of the absorption cycle with the ejector and investigates the characteristics of that cycle by the simulation. As a result, COP of the absorption cycle with the ejector is about 3% higher than that of the conventional absorption cycle.