Household welfare impacts of natural and manmade disasters in Korea and Japan. People in both developed and developing countries face a variety ofunexpected events. Large scale natural and manmade disasters generatethe most devastating outcomes. Based on household micro-data, Professor Yasuyuki Sawada (University of Tokyo) will compare two manmade disasters, the 1997-98 financial crises in Korea and Japan as well as two natural disasters in Japan, the Great Hanshin Awaji (Kobe) earthquake in 1995 and Chuetsu earthquake in 2004. The impact of each disaster on household welfare is differentiated due to heterogenous conditions. While the financial crises affect both Korean and Japanese households seriously, the magnitude of welfare impacts is much higher in Korea than in Japan. Intriguingly, in both Kobe and Chuetsu, the means for coping are specific to the nature of shocks caused by the earthquakes.