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Userfocus provides some inspiration for capturing paper prototype tests with Morae and a webcam. Their method invovlves positioning the camera over the prototype, connect the cam directly to the PC, viewing the camera live in a video editor, and recording the output of the editor in Morae.
This method is ingenious. It gives you all of the agility of doing a paper prototype, with the flexbility and control of using Morae for the observation, note taking, and highlight reel creation.
