Yes, paper is a Scrabble word!

Verb

1. Cover with paper

2. Cover with wallpaper

Noun

1. A material made of cellulose pulp derived mainly from wood or rags or certain grasses

2. An essay (especially one written as an assignment)

3. A daily or weekly publication on folded sheets; contains news and articles and advertisements

4. A medium for written communication

5. A scholarly article describing the results of observations or stating hypotheses

6. A business firm that publishes newspapers

7. The physical object that is the product of a newspaper publisher