Did we? I grew up middle-class and no one I knew got actual newspapers. That was always a marker for me of someone being rich. We maybe got weekly/monthly news magazines, but that's an order of magnitude cheaper.
What years ? Even in the 80s and a good deal of the 90s, many people got and shared newspapers. They were everywhere. I remember them being 15, 25, 50 Cents through the years.
Definitely did. Maybe not in your area, but many people here used to spend their idle times reading newspapers. Restaurants have them ready on the tables for people to consume as they come. Now its been replaced by phones.
Newspapers was the only the way I could get any insights on the outer world. This was in 2000s and early 2010s. There were TVs but newspapers were the only method where I could stare at pictures from all over the world and read random people's opinion.