Did Tolkien mean to make this relation?

[Lady Iverin]

All right, I believe that I'm thinking like a child now. Poor me. Well, of course his words are myths, but I'm looking at it as continuing the myths to modern age. I mean, even though it's not real, it doesn't mean that we can't relate to the legends of Tolkien nowadays.

Nothing happened to the Hobbits, they simply do not wish to be seen because we are too big and clumsy. In the early legends, the remaining Elves faded and their stature diminished as Men grew larger, so that they become what we would call 'fairies'. The Ents would naturally have died out eventually, since they could not reproduce; I don't know what Tolkien's intentions were for Dwarves and Orcs, but it must be remembered that this is just a story.

All right, I understand what he means now. But, I do think it's rather cruel to kill off so many races just to make it seem that ME men evolved into modern day man, which of course is just a story.