How do IAM policies function within Google Cloud?

IAM (Identity and Access Management) policies in Google Cloud are designed to control access to resources within the platform. They function by specifying user roles and the actions those roles can perform on particular resources. Each role aggregates a set of permissions necessary for performing specific actions, such as viewing, editing, or managing resources, thereby helping to enforce the principle of least privilege.

This approach allows organizations to define who can do what within their Google Cloud environment, ensuring that users have appropriate access levels tailored to their responsibilities. For instance, a user assigned the 'Viewer' role can only view resources but cannot modify them, while an 'Editor' can both view and edit resources.

Understanding this aspect of IAM is crucial for establishing effective security protocols and managing user access efficiently. The focus on roles and permissions helps streamline the administrative process of access control, making it clear what actions are permitted for each user or service account.

Other choices, while related to important aspects of cloud management, do not accurately represent the primary function of IAM policies. Granting permissions to external parties, managing billing and quotas, and controlling access to network settings each play important roles in the overall cloud management ecosystem but do not reflect how IAM policies are fundamentally designed to operate concerning user roles and permissions.