Marty, ain't this fun? I agree with JayJ. For the most part. However, there is a wall covering at all the Home Centers that is thicker than normal wallpaper, has different textures and is paintable and it will cover paneling and it's fairly cheap. I've used it many times and if you take the time to match the patterns up on the different sheets the seams virtually disappear.
If you're going to paint the paneling, the only thing I could add to what's already been said, is to either sand the paneling first or use a liquid sander to give the Kilz a better bonding surface. The biggest problem with painted paneling is that you can normally scrape the paint off with a fingernail after it dries. Caused by a lack of bonding on the first coat.
Remember, we all draw on our own experiences, successes and failures. What's worked and is acceptable for one ain't necessarly so for others. Don't make it right or wrong, just different.
And you thought you were asking a simple question!