chris - If you played with Onslaught fetchlands the Hermit would deck you in one turn also. Also, I don't know if 4 reanimtes and 4 exhumes would be overkill, but if you're worried about it I will point out that 4 reanimates and 2 Exhumes is better than 2 Reanimates and 4 Exhumes.
train - fair enough, I wasn't trying to pick on you, but I think if the opponent deals with the ghoul then their isn't going to be anything to Living Death. Also, what's to be done about his empty library anyway? If he pops the hermit, he better win that turn or he's decked. While I agree with your sentiment about deck balance, this deck is a total wad shooter - the late game can't possibly exist in a deck whose combo involves turning the entire library upside down.