This
paper studies the Nash-Cournot
model, created in 1995 following the
deregulation of the Swedish government's
electricity market. It is a simple numerical model to explore the relationship between the Cournot-
equilibrium price and the number of
firms and the size distribution of firms on the market. The model shows that given the current structure of firms on the supply side of the Swedish electricity market, deregulation is not a sufficient condition for equilibrium prices close to marginal costs. The author of this paper applies the Swedish model to the British electrical system.