I am able to visit 127.0.0.1. When visiting localhost, it is not able to resolve.
Here is /etc/hosts
127.0.0.1 localhost # suppose to list all folder + files under /var/www, when visit localhost.
127.0.0.1 mymachine # aegir
127.0.0.1 languages.local #drupal
127.0.0.1 languages.localhost #drupal
-- The following lines are desirable for IPv6 capable hosts
::1 ip6-localhost ip6-loopback
fe00::0 ip6-localnet
ff00::0 ip6-mcastprefix
ff02::1 ip6-allnodes
ff02::2 ip6-allrouters
ping localhost
and try to chmod etc/hosts to 644