Instructions:
Body
Using 5 mm needles, cast on 11st in white chunky wool
Work 40 rows in garter stitch (knit every row)
Cast off
Sew the cast off edge to the cast on edge, to create a tube.
Gather around one end and form 3 loops of wool for the top of the head.

Arms (knitted in one piece)
Cast on 24st and cast them off.
Thread the length through the body to create an arm on either side and sew in place.

Finish off with some googly ghosty eyes!

or

Body
Using 4 mm needles, cast on 14 stitches in double knit
Knitting throughout, work 48 rows.
Cast off.
Sew the cast off edge to the cast on edge, to create a tube.
Gather around one end and form 3 loops of wool for the top of the head.

Arms (knitted in one piece)
Cast on 22st and cast them off.
Thread the length through the body to create an arm on either side and sew in place.

Finish off with some googly ghosty eyes!