He's significantly younger than those 3 (29 as opposed to 31, 32, 35), younger players does not mean <25, australian batsmen usually aren't good enough that young anyway. Jaques and Hussey are far better one day prospects than Hodge, Katich or Hayden. Jaques has had a patchy season, sure, but NSW is not so blessed as to be in any position to drop him. Still, his next innings will need to be very good before he'd be worth a spot, which is why he was not my first suggestion, though he would have been early in the season.
Hussey however is coming off a good innings, he's a big match player like his brother, with the same mix of shot player/accumulator that makes a great ODI player. If anyone's worth a shot in the middle order, it's him, he's got the je ne sais qua.
I don't see what's wrong with White and Hogg as a lower middle order myself if you get a decent partner for Gilchrist, that should be plenty of batting, you only need a specialist at 7 if you can't trust your top order. White was not selected for his feats at no 7 but for at 3, 4 and 5. I like a deep batting order, I really do, but who else do you put down there who's a good enough bowler and a better lower order bat than Hogg and who's not wasted or out of place at 7? Hopes? (leading ranger cup wicket taker) Assuming Watson returns a 4th specialist seamer is superfluous and hogg's your no 8 anyway.
White is better suited at 7 than Watson, but I still think it's too low. Unless Clarke opens there's no room in the middle order anyway so it's moot. Then they have to replace Hayden from the outside, in which case Jaques couldn't be any worse than Hayden, or better yet give Klinger (leading ranger cup run scorer) a go. Hayden is not a long term option, so he has to be performing outside of his skin to justify his spot where the alternatives might actually benefit from a little good faith.