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Hi- you are trying to install a package, which will download data from the Internet. Not all sites are available through sagemath cloud. If you pick a mirror that is accessible this should work so try

install.packages("psych", repos="http://cran.cs.wwu.edu/")

Make sure that you say "y" (yes) to install the package locally.

Installing package into ‘/projects/<some_id>/R/x86_64-unknown-linux-gnu-library/3.1’ (as ‘lib’ is unspecified)