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The execution policy is part of PowerShell’s security strategy. It determines whether you can load configuration files (including your PowerShell profile) and run scripts, and it determines which scripts, if any, must be digitally signed before they will run.
When you install PowerShell, the execution policy is set by default to Restricted. This means that PowerShell will not load configuration files or run scripts. (If you’re new to PowerShell, better safe than sorry.) Even though you are restricted from using scripts, you can still run interactive commands.
Once you are more comfortable with using PowerShell and scripts written by others, you can change the setting.