We report an extensive ab initio study of the electric dipole polarizability and hyperpolarizability of carbon monoxide. The bond length dependence of the molecular properties has been determined from finite-field complete fourth-order many-body perturbation theory and coupled cluster calculations with very large, well-optimized basis sets of Gaussian functions. The mean dipole polarizability <(alpha)over bar> and the anisotropy Delta alpha vary around the experimental bond length of R(e) = 2.132221 a(0) as <(alpha)over bar>(R)/e(2)a(0)(2)E(h)(-1) = 13.19 + 5.52(R - R(e)) + 1.74(R - R(e))(2) - 0.35(R - R(e))(3) - 0.33(R - R(e))(4) and Delta alpha(R)/e(2)a(0)(2)E(h)(-1) = 3.66 + 8.28(R - R(e)) + 3.32(R - R(e))(2) - 0.24(R - R(e))(3) - 0.42(R - R(e))(4). The mean first dipole hyperpolarizability <(beta)over bar> varies as <(beta)over bar>(R)/e(3)a(0)(3)E(h)(-2) = 28.0 - 7.0(R - R(e)) - 5.6(R - R(e))(2) - 8.7(R - R(e))(3) + 2.1(R - R(e))(4) and the mean second dipole hyperpolarizability <(gamma)over bar> as 10(-2)<(gamma)over bar>(R)/e(4)a(0)(4)E(h)(-3) = 15.3 + 3.4(R - R(e)) + 13.3(R - R(e))(2) + 1.8(R - R(e))(3) - 2.6(R - R(e))(4). Our best values for the respective static Limits at the ground vibrational slate are <(alpha)over bar> = 13.15 e(2)a(0)(2)E(h)(-1), Delta alpha = 3.68 e(2)a(0)(2)E(h)(-1), <(beta)over bar> = 26.5 e(3)a(0)(3)E(h)(-2), and <(gamma)over bar> = 14.8 x 10(2) e(4)a(0)(4)E(h)(-3). Relying on previous estimates of the dispersion of the hyperpolarizability (Sekino, H.; Bartlett, R. J. J. Chem. Phys. 1993, 98, 3022), we estimate fur the hyperpolarizability the values of <(beta)over bar> = 30.1 +/- 0.6 e(3)a(0)(3)E(h)(-2) and <(gamma)over bar> = (17.9 +/- 0.9) x 10(2) e(4)a(0)(4)E(h)(-3) at 694.3 nm, in excellent agreement within the available experimental results of 30.2 +/- 3.2 e(3)a(0)(3)E(h)(-2) and 1730 +/- 50 e(4)a(0)(4)E(h)(-3), respectively.