Assuming a data frame or matrix with two columns representing variable that
you want to aggregate over.
you want to calculate column means, by year, for each Id



example<-data.frame(id=c(rep(12345,5),rep(54321,6),rep(45678,7)),Year=rep(seq(1900,1902,by=1),6),
x=seq(1,18,by=1),y=seq(18,1,by=-1))
 example
      id Year  x  y
1  12345 1900  1 18
2  12345 1901  2 17
3  12345 1902  3 16
4  12345 1900  4 15
5  12345 1901  5 14
6  54321 1902  6 13
7  54321 1900  7 12
8  54321 1901  8 11
9  54321 1902  9 10
10 54321 1900 10  9
11 54321 1901 11  8
12 45678 1902 12  7
13 45678 1900 13  6
14 45678 1901 14  5
15 45678 1902 15  4
16 45678 1900 16  3
17 45678 1901 17  2
18 45678 1902 18  1

 result<-by(example[,3:4], example$id, by(example[,3:4],
example$Year,colMeans, na.rm=T))
Error in FUN(X[[1L]], ...) : could not find function "FUN


desired result should look like:
 id          Year  meanx mean y
1  12345 1900   ...        ...
2  12345 1901   ...
3  12345 1902   ...
4  54321 1900
5  54321 1901
6  54321 1902
7 45678 1900
8 45678 1901
9 45678 1902

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