A paper bullet firing pistol toy produces its own projectiles sequentially for shooting. By sliding an operating part on the outside of the toy, a strip of paper is drawn into the body of the pistol, and a piece of the paper is cut and folded into a bullet shape inside the toy. Thereafter, the paper bullet is shot from the muzzle by operating the trigger part, and the toy's mechanisms can be restored to their initial states by restoring the sliding operating part to its initial position, thereby making it possible to shoot paper bullets continuously.