Your files are never "in" PSE. The organizer is just a database of the original images wherever it found them, so you must have moved them another way if they're gone from your desktop. If you used organizer to move them, just use the organizer's folder view to put them back again.
I haven’t a clue as to how I transferred the files from my desktop to Photoshop Elements. It definitely wasn’t on purpose. What I’ve finally ended up doing is backing up all of my files and photos to DVD’s and deleting them from my computer. Your offer of assistance is appreciated.
Well, as I said in my first post, your photos are never actually "in" PSE. The organizer is just a database, a list of the photos in their original locations (unless you have a mac and used the from iphoto command, which is the only time PSE makes copies). If you use Windows, you might want to go to the File menu and check to see if you have any watched folders, and turn those off.