A novel, self-consistent approach, applicable both for ground and excited e
lectronic states, is introduced to calculate molecular properties in cluste
rs and liquids. Using the method, carried out here at the second-order Moll
er-Plesset perturbation theory (MP2) level, we obtain an average dipole mom
ent of 2.65 D for water in liquid. Significant changes in quadrupole moment
and polarizability, due to surrounding molecules, are also found along the
water plane in the direction perpendicular to the axis bisecting the H-O-H
bond angle. (C) 2000 Elsevier Science B.V.