There are two features that run in the background while you're working in Premiere Elements 8 which, while useful, can interfere with your other work. So, if you find your computer running sluggishly, you may want to try disabling them.
Background Rendering renders all non-DV footage or footage to which effects or transitions have been applied on your timeline automatically. (Clips which appear on the timeline with a red line above them need to be rendered in order to show at full quality.) To turn off this feature, go to Edit/Preferences and uncheck the Background Rendering option.
To manually render your video, press Enter. The red lines above your clips will turn green when rendering is complete.
The Organizer also runs a background feature called the Auto Analyzer. To disable it, go to the Organizer's Edit/Preferences and select the Auto Analyzer page. Uncheck this option.
Note that the Auto Analyzer creates Smart Tags, which are necessary in order for the program to Auto Enhance your clips. If you turn off the Auto Analyzer, then, you will also disable the Auto Enhance feature.
Finally, as an added tweak, go to Premiere Elements' Edit/Preferences and set Timeline Scrolling to Page Scroll. The default setting (Smooth Scrolling) continually moves the timeline as your video plays, wasting unnecessary resources.