I'm using Premiere Elements 10. When I began my first project and added a clip to my timeline a dialogue box asked if I would like to automatically apply an effect (I can't remember which effect but it makes my clips semi-transparant). I accidently selected "yes" and now everytime I add a clip to my timeline, Premiere Elements 10 automatically applies this effect. I cannot find any option to turn this setting off.
I have started brand new projects and this setting is still in effect.
That's the Videomerge effect.
Right-click on the clip on your timeline and select Show Properties. Then, in the Properties panel that opens, delete Videomerge.
Welcome to the forum.
Steve's instructions will Delete any added Effect. Note, however, that there ARE several Fixed Effects, that are part of your Clip: Opacity, Rotation, Motion>Scale and Motion>Position, and Volume, for any Clip with Audio. Those cannot be removed, as they are Fixed.