Here is a copy and paste from another post on this page by Phil Reader
Hi Tom,
Paper wheels were popular in the early part of the last century.
What they are is a tightly rolled paper center sandwiched and riveted together with two steel hubs. A steel tire is fixed to the wheel. The wheels are pressed on the axle just like any other wheel.
The therory at the time was to give the car smoother ride.
Unfortunately, what would happen is the wheels would come apart. This usually happened when the brakes were applied at speed causing the car (and train) to derail or worse.
What was going on was unequal stresses, a twisting motion, if you will, was being set up though the rolled paper ring and the steel tires and hub.
These paper wheels were later outlawed and replaced. The Cuscatlan still has hers, but if it ever gets rebuilt, I would like to see her get new wheel sets and the paper ones put on display in a museum.
I hope this helps.
Phil