Optimal allocation of water is an effective way to resolve the issue of regional water shortages

while identification of economic efficiency coefficient of the regional water is the basis. Use relational analysis method in gray system theory

the various factors that affect water use economic benefits based on regional historical water use data is analyzed

and the main impact factors is distinguished. Mining the relationship between impact factors and total economic output combined with Lasso regression

and the method is used to solve water use economic efficiency coefficient of industrial water and agricultural water in Zhoukou City. The result shows that the method can calculate the water use economic efficiency coefficient of study area more accurately

and provide a more accurate and quantitative methods in fixing the economic efficiency coefficient of optimal allocation of water.