Ok I just tested it with the setting you're using and I got minor ghosting on my sword and the pillars at the start of the game.
Disable the hardware hacks and set VU Cycle stealing to 0. If cycle stealing is giving you a speed boost then you might have some ghosting (at least on my pc VU cycle causes it).
Maybe you can get some extra speed by increasing EE Cycle rate instead.
Also my Clamping at EE is Chop/Zero and Normal and the same at VU.
Normally setting Clamping to None might help a bit but it's not always noticeable.
I also have Texture Filtering and Allow 8-bit Textures enabled.
When I disable VU Cycle Stealing I notice a bit of ghosting on my horse but it was really minor and I had to look closely to see it.
Try out these settings and let me know if the problem is still there. I know that under hardware hacks. TC Offset can help ghosting but I've never used it. I'm sure someone else on the forum can help you with those settings.
Oh and about the specs, you problem is not spec related, but giving specs makes it easier to help out when the problem might be spec related, in this case, it doesn't seem to be a spec problem