That would make a fascinating model, but I don't know how much patience and practice it would take to assemble. Still, it's a neat film. Thanks for sharing.

A working paper differential would be a bit difficult. It would however be a magnificient example of Paper Engineering and precise workmanship!

It should be noted that more modern designs offset the drive shaft and driving gear lower to provide more room for passengers and luggage without moving the Differential housing. These designs use Hypoid spiral gearing to accomplish this. Much more difficult if not nearly impossible to do in paper.

Hypoid gear in paper? That would be fun/tricky!

 What if you made a simple toroid gear out of 2 disks separated on the axle with strips of paper for gears. It would be less trouble than making bevel gears. Just a thought.

Nice idea! Have you tried it? It could work, I'm wondering if the lobes would get ripped off at the base.

I have not tried building these Paper Toroid Gears. I just thought of it and built it in Google SketchUp so I could show you a screenshot of my idea. I did not think about the paper tearing at the disk. I may have to think more about how to make this easy and strong.