Design a policy engine for deciding which tools an AI assistant may call in each context.

Instruction: Evaluate principal, resource, action, data sensitivity, destination, and approval requirements from trusted context.

Context: Build a policy decision point that can allow, deny, or require approval for a specific tool action and enforce that decision.

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I would represent the proposed action as a typed request: authenticated principal, tenant, tool version, target resource, intended mutation, and any external destination. The policy engine returns allow, deny, or require approval with a reason code and policy version.

Inputs such as user identity and data classification come from trusted...

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