This is not my experience. I was hoping to share my 78k/650 album library with my wife, but she only sees the photos, no structure which is a big disappointment. I just did a test share of the photos in a Test Album and the photos shared but the album. There is no mechanism for adding albums to the Shared Library, only adding photos. Each user of the shared library has to create their own organisation of folders and albums.
I really hope I am wrong about this...if I am please tell me how to do it!