A folder is a container for your files. Every file is stored in a folder or a subfolder (a folder within a folder). You can access all your folders by clicking Computer in the navigation pane (the left pane) of any open folder.
In some ways, a library is similar to a folder. For example, when you open a library, you'll see one or more files. However, you can't store files or folders in a library. This is a subtle, but important, difference. In libraries, you can include folders from different locations so that you can see the files in one place. This is a good way to keep your files organized so you don't have to search multiple locations to find what you're looking for.

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