I was assuming alternating fast and slow trains, each 2-hourly. The smaller stations don't warrant hourly, I agree.Skipping stops has the unfortunate effect of destroying the local connectivity. A line like this isn't busy enough to justify separate fast and slow services, and only skipping half the halts doesn't get the time back.
davetheguard explains it all, and a fast service needn't stop there.Resignalling maiden Newton doesn't help much as the trains are stopping anyway because it's the only reasonable settlement between Dorchester and Yeovil.