Two consecutive feeding trials investigated the effects of feeding rate and pellet expansion by water-soaking on the growth performance, blood components and histology of olive flounder Paralichthys olivaceus. The first two experiments were carried out to determine the effects of pellet expansion and feeding rate. In the first experiment, growth performance, feed utilization and survival of fish were not significantly affected by pellet expansion for six weeks. There were no significant differences in hematocrit, hemoglobin, aspartate aminotransferase, alanine aminotransferase, glucose and total protein of fish fed the expanded pellet. However, whole-body lipid content of fish in the non-expanded group was significantly higher than that in the expanded group. Histological analysis of the anterior intestine revealed that fish in the expanded group had shorter and smaller mucous folds. These results indicate that pellet expansion had no beneficial effect in terms of growth performance, feed utilization and fish health. In the second experiment, weight gain and feed efficiency were significantly increased as feeding rate increased from 0 to 2.5% body weight per day (BW/d), but there were no significant differences in weight gain or feeding efficiency in fish fed the expanded pellet at ratios of 2.5% BW/d and satiation for three weeks. Plasma aspartate aminotransferase activity of fish fed the expanded pellet at a ratio of 2.5% was significantly lower than that of starved fish. Histological analysis of the anterior intestine revealed that fish in the 0% group had shorter mucous folds. Broken-line regression analysis suggested that the optimum juvenile olive flounder feeding rate was 3.5% BW/d during the low temperature season ($16-17^{circ}C$).