I describe the properties of a fourth‐order accurate space, second‐order accurate time, two‐dimensional P-SV finite‐difference scheme based on the Madariaga‐Virieux staggered‐grid formulation. The numerical scheme is developed from the first‐order system of hyperbolic elastic equations of motion and constitutive laws expressed in particle velocities and stresses. The Madariaga‐Virieux staggered‐grid scheme has the desirable quality that it can correctly model any variation in material properties, including both large and small Poisson’s ratio materials, with minimal numerical dispersion and numerical anisotropy. Dispersion analysis indicates that the shortest wavelengths in the model need to be sampled at 5 gridpoints/wavelength. The scheme can be used to accurately simulate wave propagation in mixed acoustic‐elastic media, making it ideal for modeling marine problems. Explicitly calculating both velocities and stresses makes it relatively simple to initiate a source at the free‐surface or within a layer and to satisfy free‐surface boundary conditions. Benchmark comparisons of finite‐difference and analytical solutions to Lamb’s problem are almost identical, as are comparisons of finite‐difference and reflectivity solutions for elastic‐elastic and acoustic‐elastic layered models.