An up to date system is vital, when it comes to running intensive programs like Premiere Elements.
Here are three ways to ensure you have the latest firmware and drivers.
1) Go to Windows Update and manually download all the latest, including optional updates for hardware. These non-critical updates don't install automatically
2) Go to http://www.apple.com and download the latest version of Quicktime. Quicktime is at the core of all PC-based video applications, include Premiere Elements
3) To ensure that all of your software is up to date, download this great product from Secunia. The home version is free.
http://secunia.com/vulnerability_scanning/
This program will update all of your drivers and firmware and will even advise you when a driver is outdated.
A great, free tool for ensuring your drivers are up to date is Device Doctor, available from http://www.devicedoctor.com/
This program will scan your drive and recommend driver updates, when available. Although the program is free, a voluntary donation is encouraged. The program also offers to install a free toolbar -- which I recommend you decline.