Do folder permissions apply to the files within it in MS Teams?

Question

Hello. When sharing links of folders and files, I noticed that the process is the same. I was wondering if folder permissions apply to the files within it. Or do I have to go into each individual file within the folder and change the permissions settings of it, too? i.e., if I give someone edit permissions of the folder, can they edit all the files within the folder as well? Thank you!