Lennie,
I really think you should let your darling daughter start to shave her legs. This is obviously a highly emotional issue for her. It is MUCH better for her to be singled out for having shaved legs (or you, for being her mom, if such a thing happens) than for her to develop a deep-seated psychological complex based on feeling unattractive, perhaps "ugly" and/or continuing to receive criticism from other kids (not that they are right, but you cannot control the actions of others - especially kids, who do not realize how hurtful their taunts can be!)
The fact is that ALL people develop at different rates. Your daughter is showing signs of puberty. Some little girls are beginning to develop breasts at seven. Children of both sexes are beginning to experience feelings that are the beginnings of sexual urges at this age, and younger. I know that it is difficult to see you dear daughter "growing up" faster than you would like, but the reality check is that she will not "grow out of the desire" to shave because in our society thick, dark leg hair is not considered attractive on females. I personally think bleaching will be more trouble than the benefit she will derive. The chemicals cannot be safe for prolonged use and seem more problematic than learning to use a razor appropriately. There are very safe ways for her to shave - an electric razor is a start if you think she cannot handle a safety razor. Venus makes safety razors that are extremely safe and easy to hold (in fact, I now use one after seeing it recommended for young girls on Mamasource, and I can't imagine how anyone of any age could cut oneself with a Venus razor.)
The KEY is to teach children from very early ages to behave modestly, to protect their bodies and keep them exclusive, and to always conduct themselves appropriately for their surroundings (i.e. casual and relaxed is great at home, but respectful and polite behavior should be expected when kids are outside the home.) WHATEVER you teach them at home is the basis for their behavior when they are away from you. The fact that your daughter shaves her legs to reinforce her self-esteem will not have any bearing on her developing an interest in boys any earlier, nor will it promote her to act in unbecoming ways (if you are having either of those fears.)
Warmly,
Karen
P.S. - The first scripture below may NOT be one to share with your daughter (although maybe?!) because it speaks to what that society felt was a mark of beauty! :) The other passages about hair and our bodies are good for thought, too:
Song of Solomon 4:1 - [ Solomon's Love Expressed ] "How beautiful you are, my darling, How beautiful you are! Your eyes are like doves behind your veil; Your hair is like a flock of goats that have descended from Mount Gilead."
Matthew 5:36 - "Don't even swear by your own head, because you cannot make one hair on your head become white or black."
Luke 12:7 - Indeed, the very hairs of your head are all numbered. Do not fear; you are more valuable than many sparrows."
Romans 12: 1-2 - "Therefore I urge you, brethren, by the mercies of God, to present your bodies a living and holy sacrifice, acceptable to God, which is your spiritual service of worship. And do not be conformed to this world, but be transformed by the renewing of your mind, so that you may prove what the will of God is, that which is good and acceptable and perfect."
1 Corinthians 6:19-20 - "Do you not know that your body is a temple of the Holy Spirit who is in you, whom you have from God, and that you are not your own? For you have been bought with a price: therefore glorify God in your body."
1 Peter 3:3-4 - "Your adornment must not be merely external--braiding the hair, and wearing gold jewelry, or putting on dresses; but let it be the hidden person of the heart, with the imperishable quality of a gentle and quiet spirit, which is precious in the sight of God."