Trees are also grown to produce a little thing called oxygen, im not a tree hugger hippie but i think that using less paper its beneficial to everyone, i know paper its easy to recycle but 80% of the paper used its new paper and also trees take a long time to grow and if you turn them it into paper they lasts so little so rather than use them to make paper lets use them to produce oxygen or goods that last longer like furniture or even cardboard stuff. BTW trees not only produce oxygen but are a vital part to balance the fauna that you call meat and eat.
Trees are important producers of oxygen (along with algae). But not all forests are equal. The tropical rain forests produce most of the land based oxygen, even though they only cover 6% of the surface area. No one is cutting down those trees for paper (That is not to say that deforestation is not a problem in those areas, but going paperless isn't going to help stop farmer clear cutting and burning the trees to make grazing land).
Now on to responsible forest management. You've probably heard that the timber companies plant 2 trees for each 1 they harvest. That might have been true 20 years ago, but it isn't today. The reason they did that was to grow stands of identical trees, and harvest whole sections at a time. Now most forests go with a more natural approach of planting a mix of trees, and harvesting 1 out of 4 every 10 to 15 years. This actually creates a healthier forest than just letting nature take it's course. You see the stories about forest fires running out of control? That's what happens when you don't manage a forest. That's all fine and dandy until we start developing very close to unmanaged forests, and those fires start destroying buildings.
The reason paper is made out of virgin fiber, is because there are better uses for recycled fiber. Check out this French paper ad:
http://www.youtube.com/watch?v=UnyHMSz7JDE
It is actually more environmentally friendly to use virgin fiber to make paper than it is to create 100% recycled paper and here's a few reasons:
1) Carbon footprint. The paper factories are closer to the forests, and are usually run on a combination of hydro and biofuel power (black liquor is a byproduct of pulping trees to make paper, it also burns very well to run steam turbines)
2) Chemicals. People want white paper, and recycled paper takes far more bleach to make than virgin paper does.
Some recycled content in paper is fine, better even, but anything over 10-20% is usually just "upcycling" which what we call this bit of "greenwashing." Worse for the environment, but makes it look like you care to the misinformed.
On the bit about furniture, not all trees are equal. Some makes great furniture, some doesn't. That's why responsibly managed forests plant and harvest a mix of trees.
Lastly, without a market for paper, the owners of the forests are going to sell the land (both families and corporate owners need to make a return on their investment in the land). Most of the buyers aren't going to keep the forest, they are going to clear cut it for farms or buildings. So using paper helps keep the world green.