We had a "discussion" about this thing with Abharsair today, mainly because I somewhat agreed with what Stilgar wrote.
So, we decided to test it. (And spent something like 5 hours in the process)
We made an elf and a dwarf fight eachother, slightly altering the equipment and the stats. (I won't go into exact details, since I don't think that would benefit anyone and I don't want to reveal all the details of the combat system).
The results were the following: elves can be extremely good fighters (and speed is at least as important than strength, and yes, there is a big difference at the rates and hitting). We ended up with a lot of dead dwarves (some elves too)
There are however some things that need to be taken into account. First of all, this was in one char vs. one char situation. When taking that same elf into a situation where there are multiple enemies hitting him, the importance of armours and con is greater (which seems quite natural) and the elf gets butchered more easily.
And the other aspect is that even the elven warrior needs some strength and skill too, in order to get the benefits for his speed. If he is too weak to move or dodge while carrying his sword, well...
All in all, I agree with Stilgar a lot less than before our experiment (which is a way of saying that I was wrong).
However, I do think there would be some room for improvement when it comes to fighting in teams. Most often one character acts as the 'tank' while the others just hit and hide behind this one person (and elves make bad 'tanks'). And even if the team tried, it is often very hard to make the enemies aim at more than one target (if you guard, they all turn against you). Maybe being able to guard someone against only one his enemies would make that all-elven team a better option.