Yeah, TP is pretty important too. Thats how I know that my employer will always be running and I will always have a job...
I still use paper towels for some things, like blotting the surface/cavities of meats before searing/sauteeing/roasting. Anything that will cause my cloth towels/napkins to stink after a day in my laundry basket sees a paper towel (especially poultry and fish!). A cloth napkin with a teaspoon of BBQ sauce or a bit of food from wiping the corners of your mouth isn't going to smell. Most things have enough salt/sugar/acid in them to prevent bad things from happening anyways.
It does cost a few more bucks at first to buy a few dozen cloth napkins, but I've been using the same ones for about three years now.
One of the worst things right now is baby diapers. You wouldn't believe the problems those things cause! They take up lots of room in landfills, obviously smell terrible, and bring havok to many pieces of equipment. We don't deal with them at my plant as we are primarily Industrial waste (from the paper mill), but I've seen demonstrations of what they can do. We have grinders that are simply two shafts with what looks like interlocking knives up and down them. They sit meshed together in a channel, and all the flow passes through them (grinding up any solids so it won't plug up pumps, smaller lines, etc.). A solid steel wrench will pass through in a split-second like nothing and be turned into shavings. A baby diaper will back-up the entire channel as the grinder jams up, reverses direction, and then continuously attempts to re-grind it before having to reverse direction again. It can take up to half a minute for one to process a single diaper!
The plastic on them has a predicted life in landfills of in excess of 10,000 years...
Same goes for most of the other plastic waste we send to the landfills. It's why when I
do consume, I usually choose paper over plastic. Plastic is primarily made of petroleum too, so it increases our dependence on fossil fuels, and foreign resources.
Another tip is to look for and choose unbleached paper products over the pristine white ones. Some pretty nasty chemicals are used to bleach paper products. The unbleached are just as clean/sterile. Same goes for colored papers, which are usually bleached before hand (especially lighter colors like yellow or pink).
Anyhoo, just my opinion.