Library Items?

in the library pallette, could someone please explain to me what the “Folder” and “Generic Object” are both used for.

Thank you in advance.

Folder is to create a folder in Navigator (left panel) and must be dragged over it.
Generic Object is to be dropped over a window, to create a generic object. Normally a generic object is then changed its superclass to match a precise object. This is something you could also do in the old RS2012.