the answer to this question is not he/she was mist, is "it was mist"
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First of all, you spelled gHost wrong. Second, the answer to this is he was mist.
Fog
yes
It could be, but then again, it might not be. Let me take another look. Ooops, its disappeared!
When you see AS ___ AS ___, you are looking at A Simile - a comparison between two things. Someone is comparing the thickness of something (you didn't say what) to a blanket. It depends on what the other thing is, actually. Blankets can be thin or thick depending on which type they are. For example, if someone said "The fog is thick as a blanket," they probably mean it's a thick, heavy fog that covers everything up.