no, strangely enough, not everyone dies from magic:
of course, in a big battle, everyone focuses on the furies right away, there's nothing you can do about it. but if you don't attack them, they can do a lot of damage, and you're wrong about that.
and why would elves need to retaliate when they have fairies and such fat, dumb, slow, but damn tough, units? against unicorns?) who will blind the enemy?)
so for me, the convenience and coolness of a race lies precisely in how it allows you to survive. true, Dungeon not only allows you to survive, it also lets you kick everyone's ass:) well, never mind.
you won't have mines if you rely on dancers, but you will with furies^^ mines => lots of resources => prosperity => lots of useless buildings => gg;