This paper presents an elastodynamic analysis of two-dimensional time-harmonic elastic wave propagation in periodically multilayered elastic composites, which are also frequently referred to as one-dimensional phononic crystals, with a periodic array of strip-like interior or interface cracks. The transfer matrix method and the boundary integral equation method in conjunction with the Bloch-Floquet theorem are applied to compute the elastic wave fields in the layered periodic composites. The effects of the crack size, spacing, and location, as well as the incidence angle and the type of incident elastic waves on the wave propagation characteristics in the composite structure are investigated in details. In particular, the band-gaps, the localization and the resonances of elastic waves are revealed by numerical examples. In order to understand better the wave propagation phenomena in layered phononic crystals with distributed cracks, the energy flow vector of Umov and the corresponding energy streamlines are visualized and analyzed. The numerical results demonstrate that large energy vortices obstruct elastic wave propagation in layered phononic crystals at resonance frequencies. They occur before the cracks reflecting most of the energy transmitted by the incoming wave and disappear when the problem parameters are shifted from the resonant ones.