eli5 how martial law is bad for a country’s economy and growth?

Question

eli5 how martial law is bad for a country’s economy and growth?

In: 3

Answer 1

The general outlook is “where there’s smoke, there’s fire.” You wouldn’t be declaring martial law if the regular police could do the job, so either your judicial/legal system is broken (meaning people will have less help if crimes are committed against them) or there is significant unrest in the area (more disruption, more potential conflict, more crime). Businesses and people tend to like predictability, so either of those situations are bad for business and/or consumer confidence.