Welcome to the forum.
A bit of the answer will depend on which version of iTunes you have, and how any DRM (Digital Rights Management), or Copy Protection is applied.
Once, the way to use iTunes music in a video production was:
Some newer versions of iTunes, and possibly under certain circumstances seem to be able to be used directly. I still use the older method with the Playlist and CD, as I do not update my itunes that often.
What version of Premiere Elements do you have and on what computer operating system is it running?
Elements 11 and Windows 7