Escalloped Cabbage Casserole

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2 tablespoons butter, plus more for greasing the pan

Kosher salt

1 head green cabbage 

2 tablespoons all-purpose flour 

1 cup milk 

Freshly ground black pepper

One 15-ounce jar processed cheese sauce or dip, such as Cheez Whiz

1 cup grated pepper Jack cheese 

1 jalapeno pepper, sliced into rounds, seeds removed 

Paprika, as needed