Yes, Premiere Elements 8 is capable of producing BluRay discs.
But do all of the people who will be receiving your videos have BluRay players -- or do many still have DVD players? In other words, do you plan to produce only one or the other kind of disc?
All hi-def and BluRay projects are 16:9. You have no choice there. Although your photos will likely be 4:3. It's up to you whether you display them in order the middle of the screen, not filling out all the way to the sides, or if you fill your screen with them, losing some of the tops and bottoms of your photos.
For a hi-def project, I recommend the HDV project settings.
Then size your photos to no larger than 2000x1500 pixels in size. Also, before you import the photos into your project, go to Edit/Preferences and make sure Scale to Frame Size is turned off.
I don't know how powerful your computer is or what operating system you're using, but I wouldn't recommend making a hi-def slideshow of more than, say, 20 photos, even at the size I listed above. You'll overload the program.
Your best strategy is to create a longer slideshow in segments of 20-25 slides or so, then output each by going to Share/Computer/MPEG 1440x1080.
You can then open an HDV project and combine the segments and you should have no problems outputting your BluRay.
I've got lots of other hints for working with this program and working with photos in my books, if you're interested. But these tips will help you avoid the program's biggest problems. (You can also find books for version 8 on Amazon.com and at the Muvipix store.)
Thanks, Steve. I have your book and it is