Are you trying to install programs or content from the CD or just look at photos on it, or what does Elements have to do with this CD?
In any case, can you copy the files from the CD to the hard-drive or a flash-drive and see if Elements recognizes things, then?
I am trying to copy photos (just photos( from adobe elements to my cd in my optical drive as I have done may times on my old windows computer. I have tried and have no issue doing same with external hard drive - problem is in copying to a CD or DVD in optical drive.
Which version of PSE do you have? There is no way to burn a cd directly from PSE in PSE 11/mac. Export the photos to the desktop (organizer has Export in the mac version now) and then move them from there to the CD. You can't use copy/move because PSE/mac doesn't support moving to disc.