The paper wasp is viewed negatively by many people due to its ability to sting. However they can be a very beneficial insect.
1/2″ – 1″
Most wasps are beneficial in their natural habitat, and are critically important in natural biocontrol.[1,2] Paper wasps feed on nectar, and other insects, including caterpillars, flies, and beetle larvae, and they are often considered to be beneficial by gardeners.[1,3]
We would prefer that you leave them alone. However, if there is a nest in a place where it could be hazardous to people working in the garden then please let someone know, and we will take care of it for you.
 -Wikipedia, “Paper Wasp”, http://en.wikipedia.org/wiki/Paper_wasp
 – W.F. Lyon and G.S. Wegner (1991) Paper Wasps and Hornets Ohio State University Extension Fact Sheet: Entomology
 – Drees, B.M. and John Jackman (1999) Field Guide to Texas Insects, Gulf Publishing Company, Houston, Texas. Excerpt available at: Texas Cooperative extension