Here's a link on skimcoating that might help you if you go that route. Don't use a topping compound but rather joint compound as it has adhesives in the mix that will help adhere along with the gardz. Another tip is to stay with the same brand of compound, don't mix with other brands as the mixes can vary between them enough to show where you stop and start. This is the mud I like to use if available in your area. It's a lightweight mud and although it is a topper, it has adhesives as a joint compound. http://www.homedepot.com/Building-Materials-Drywall-Joint-Compound/h_d1/N-5yc1vZard1/R-100320403/h_d2/ProductDisplay?langId=-1&storeId=10051&catalogId=10053 Here is a link that might be useful: skim coat.

I don't think I can get the paper wallpaper backing/wallpaper paste to release from the paper coating of the faux wood paneling. They've essentially fused to become one. If I try to remove all of the paper, and clean it, I'm certain I will end up with badly damaged paneling. I really think the only options are paper over paper, or paper over paste. I just need help understanding which is best of these two options.

Dental floss might work, but it'll be a hassle feeding it behind those adhesive pads. Party's drywall knife sounds good. A putty knife should work similarly. You can sharpen the edge of a putty knife so it cuts better, and you can probably do the same with a drywall knife. I don't know where you'd get either one in Japan, however. (Not saying they're not available, just that I haven't a clue.) What you're looking for is something thin and metallic that will slip between the wall and the mirror and cut the adhesive pads. Keep in mind that you have to keep that mirror under control as you remove it! I've seen glass pros use big handles with suction cups. Once you have the mirror down you should be able to remove the adhesive residue with lighter fluid (naptha). Test it on a hidden area of your wallpaper first to make sure it won't damage the wallpaper. If it causes problems, try clear kerosene (the fuel used in portable heaters).

Get a REAL wallpaper-stripper! * Roll/brush on a couple coats about 20 minutes apart. * Here's the TRICK..... * Get some light (half-mil) painters-plastic. Press it on the wall. * The idea here is to keep the stripper from drying-out, by using the plastic film!! It's the same reason you wrap up Meatloaf in Saran-wrap! * Leave it on for a couple hours....watch a Football or Baseball game :-) * Then, pull some plastic back, & start scraping. Consider getting one of those BBQ Grill scrubbers with the handle & open scrubby-head. This will help you chew-thru the paste. * Now.....rinse, rinse, & rinse again! * Then apply a couple coats of Gardz.! Faron