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Video clips added to media are not playing fluidly, and stop playing after every couple of seconds. To restart, I must hit the space bar or the "play" icon. This is making it VERY difficult to edit or view videos being created.
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What model of camcorder is the video coming from and what is the video's resolution and format?
It sounds very much like some background program is interrupting your play. If another program interrupts Premiere Elements, it's playback will stop.
What operating system do you have? What processor do you have with how much RAM? How much free, clean, defragmented space is on your hard drive?