Your image edit is just bit misleading. With body drawn (or modeled in this case) to cartoon proportions, it isn't just the head that gets enlarged. Shoulder width, leg and arm length, torso length and sometimes chest/waist/hip ratio etc. are also stylized to work best with the enlarged head. So by just making the head smaller you create a version that is equally unrealistic. For instance, in your "realistic" example, you've basically wound up with an Elizabeth that is maybe 6' + in height based on proportion.