Are you referring to Premiere Elements 10? On what computer operating system is it running?
By any chance does your computer have a NVIDIA video card? If so, please check out the following thread which deals with the epidemic of Premiere Elements 10 NVIDIA video card users and display issues et al.
For now, the answer to that issue is to roll back the driver instead of the classical drill to make sure that your computer has the latest version of the video card driver.
Let us rule this factor in or out of your particular situation and then we can decide what next if necessary.
I am running it on a MacBook Pro with Software 10.6.8. and it doesn't look like I have a NVIDIA video care in my computer. Thanks.