From Shane McGlaun,
Your Guide to Computer Peripherals.
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Definition: Ghosting is the term used to describe an after image of a previously displayed screen image still on the screen after a new image is displayed. Ghosting commonly occurs with LCD monitors that have a slow response time (higher number).

A good way to visualize ghosting is to think of the large screens at the airport that display arrival times. We have all seen what appear to be images of other words behind what is currently being displayed. Another way to think of it is what happens with your eyes when you look at a bright light and quickly look away and you can still see the ghost of the light.