I set up the position after white's Nf3 (instead of h4) on an analysis board just now.
I'm thinking h6 in response to Nf3 is the Culprit.
So I tried e6 instead - which deters Nh4 (queen takes obviously) but doesn't stop Ne5.
After Ne5 tried Nd7 Nxg6 hxg6.
The board has it as even at that point.
Note that if black has been dogmatically trained to fear NxB - then that could explain the Yekkk... h6.
Black could try Nd7 first before e6 maybe ... long time since I looked at these lines.
Black should play ...Nd7 on autopilot whenever White threatens to bring a knight to e5. This way, Black can play ...Nxe5 if the White knight ever tries to invade Black's camp.
@186
Tarrasch 2796 in 1894-1896 was stronger than Nimzovich 2770 in 1928-1930, but not that much.
Nimzovich came later and thus knew more.
Tarrasch lost his World Championship match against Lasker in 1908, while Nimzovich could not raise the money to challenge Alekhine after 1929.
http://www.chessmetrics.com/cm/CM2/PeakList.asp
I think Tarrasch was considered to have been the stronger by contemporary players. Nimzo is thought to have contributed more but that's due to the importance of the NimzoIndian Defence. Tarrasch and another one, Schlechter, were immensely important. In my opinion, much more so than Emanuel Lasker. Two generations before, perhaps along with Staunton, Louis Paulsen deserves to be recognised as the father or progenitor of modern chess..