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instead of vs in place of...

Hi,
I saw a B2 exam question this week to which there was only one correct answer and the answer options included a) in place of b) instead of...

This exercise suggests there is a definite grammatical difference - can someone define the rules for me please?

Thanks

Chris.

Re: instead of vs in place of...

It depends on the context created by the question but a) seems like it involves replacing something for something else, whereas b) does not necessarily involve replacement.