ya, not a bad looking drift. Could've been tighter coming out though.
but the bulk of my comments are about the capture quality:
please dont take offense to this, but the capture quality really was bad. I would expect a 20s vid 3mb in size in wmv format to look absolutely amazing for those 20 seconds. I've made a 4minute video in roughly the same resolution with no missing frames that only occupied 5mb. I just dont see where the size came from in this case, since it played so jerky and seemed to have so many missing frames.
here's my suggestions:
download virtual dub - its free and captures videos better than most commercial programs do. It's compatible with most capture devices
http://www.virtualdub.org/index
next, get the huffyuv codec - its lossless. The captures with this codec are massive, but look amazing. I have never once seen it skip a frame during a capture with this codec.
http://neuron2.net/www.math.berkeley.edu/benrg/huffyuv.html
then, do your captures in virtual dub in yuy2 format with huffyuv as your compression type.
exit capture mode, open the previously captured avi in the editor and save the segments you want as another avi with huffyuv codec used for compression. (you can also apply filters in this step - you could have used more brightness in your vid). This step will balloon te file size. 2mins of video usually occupy 1gb for me. But as long as you have the hard drive space, dont worry about it.
then, take this massive avi into another program that can create wmv's, like windows movie maker, vegas video (i use this), etc etc and do the rest of your editting here. You can get very good compression and keep the file sizes quite low in this manner.
My first gt4 vid is a poor example, but vids i have made since then (not available, btw) have been 3 or 4 minutes in length, and i can compress them to 20mb or less in 640x480 with no noticeable losses in quality from how the ps2 displays the game on my tv.
if nothing else, i would really recommend you try virtual dub. It's a great tool with more options than you will ever use.
As i said b4 i would feel embarassed if i did, if i had a lap fulled with good drifts then i would feel confident. 
