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I have a data set that contains data for 10 of the same stocks for a period of 10 years. This would be considered panel data. I have read that I can not use OLS on panel data because observations are not independent. I was wondering what transformations I must do to panel data in order to run a simple regression (or other models).

My first idea is to scale the data by stock. My second idea is to use a panel linear model from the plm package. Are either of these the standard approach when dealing with panel data?

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