If your Shared folder is the same as default & you didn't choose a different location, then it should be here: C:\Documents and Settings\"your account name"\Shared

Else if you want to create a new folder just for sharing, you can go to LW's menu Tools>Options>Sharing & press the Add button. Then direct it to where your folder is you wish to share. Then select it & press the Apply button.

By the way, the Refresh button in the LW Library window simply updates what items are in the library & which are being shared.