The simplest solution to your problem is turning on optimization.
I have your source in a file called tail.hs.
jmg$ ghc --make tail.hs -fforce-recomp
[1 of 1] Compiling Main ( tail.hs, tail.o )
Linking tail ...
jmg$ ./tail
Stack space overflow: current size 8388608 bytes.
Use `+RTS -Ksize -RTS' to increase it.
girard:haskell jmg$ ghc -O --make tail.hs -fforce-recomp
[1 of 1] Compiling Main ( tail.hs, tail.o )
Linking tail ...
jmg$ ./tail
10000000
jmg$
@Hynek -Pichi- Vychodil
The tests above were done on Mac OS X Snow Leopard 64bit with a GHC 7 and GHC 6.12.1, each in a 32 bit version. After you're downvote, I repeated this experiment on Ubuntu Linux with the following result:
jmg@girard:/tmp$ cat length.hs
myLength :: [a] -> Integer
myLength xs = len xs 0
where len [] l = l
len (x:xs) l = len xs (l+1)
main = print $ myLength [1..10000000]
jmg@girard:/tmp$ ghc --version
The Glorious Glasgow Haskell Compilation System, version 6.12.1
jmg@girard:/tmp$ uname -a
Linux girard 2.6.35-24-generic #42-Ubuntu SMP Thu Dec 2 02:41:37 UTC 2010 x86_64 GNU/Linux
jmg@girard:/tmp$ ghc --make length.hs -fforce-recomp
[1 of 1] Compiling Main ( length.hs, length.o )
Linking length ...
jmg@girard:/tmp$ time ./length
Stack space overflow: current size 8388608 bytes.
Use `+RTS -Ksize -RTS' to increase it.
real 0m1.359s
user 0m1.140s
sys 0m0.210s
jmg@girard:/tmp$ ghc -O --make length.hs -fforce-recomp
[1 of 1] Compiling Main ( length.hs, length.o )
Linking length ...
jmg@girard:/tmp$ time ./length
10000000
real 0m0.268s
user 0m0.260s
sys 0m0.000s
jmg@girard:/tmp$
So, if you're interested we can continue to find out what is the reason, that this fails for you. I guess, GHC HQ, would accept it as a bug, if such a straight forward recursion over lists is not optimized into an efficient loop in this case.