Not true.

Yes, one of the relatively minor limitations of Elements is that it's an "8-bit program". And, yes, it's best to "work" with images in 16-bit mode. HOWEVER.... Elements actually does work in 16-bit whenever you use it to handle RAW conversions, same as you would need to do with any other editing program (in-camera JPEGs are already reduced to 8-bit). The Adobe Camera Raw "engine" built into Elements is the same as what's used in Lightroom and Photoshop. It's only a few of the specialty filters and such that aren't available in Elements until after the image has been saved as an 8-bit JPEG. Really no biggie.

For most people it doesn't matter that Elements is only able to output/save 8-bit JPEG (and similar) files, because those are more than adequate and even what's wanted for the vast majority of purposes. Typically only commercial, pro uses might call for 16-bit TIFFs (and similar). In fact, many printing services require 8-bit JPEGs. Even if you were to use a 16-bit TIFF to make a print yourself, assuming your photo quality inkjet can handle it, there will be no visible difference in the final print. The human eye cannot differentiate between 8-bit and 16-bit. Likely the only difference would be that it takes a lot longer to print.