Naked but for a thin skin of paint, modern walls are an aberration in the long history of decorated walls. Wainscots are not only one of the most characteristic finishes in a period house, but also the logical extension of the baseboard that anchors the room.
The older the house, the rarer it is that original paneling has survived un-scathed. Old wainscots are often targeted with paint, which can cause its own set of problems. Others, particularly utilitarian styles including beadboard, were often ripped out in favor of new wall finishes from Homasote to drywall.
Perhaps that’s why installing wainscot is all the rage right now. Beaded board, a pattern familiar from houses built between 1880 and 1920 or so, is an especially popular choice. It can be ordered as 4" x 8" sheet stock or as traditional tongue and-groove boards, which generally convey a greater sense of depth and give the installer more flexibility in terms of height. That may be important, considering how tricky it is to align