It's Shinto priests who work with these things.

1.)  What is with the priests using folded paper? 
Wards I can understand, but
folded paper to whap someone's head or to to use as

a

whip?

I've never seen that; that's not the purpose of the
paper. The wards aren't used to hurt anyone; they're
channels for the spiritual power of the priests and
miko (Shinto priestesses). The folded paper (paper,
called 'kami' but using a different kanji from the word
for god [also known as kami]) is a symbol used as a
purification device. Priests will use the paper to
drive away evil spirits from anything from shrines to
cars.

2.)  What about the "barriers"?  Namely ropes with
what looks like folded
paper diamonds hanging from them.  Four at a time.

The 'barriers' aren't barriers at all. The straw rope
with the folded paper is called shimenawa (i think).
It's used to mark holy places or things where kami are
said to reside.

Maybe that'll help you out some.

Jess, the LilTigre =^_^=
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