What context can I use each word in?
Learn when and how to use these words with these examples!
exchange
Example
I would like to exchange this shirt for a smaller size. [exchange: verb]
Example
The exchange of ideas between colleagues is essential for innovation. [exchange: noun]
trade
Example
I want to trade my old phone for a new one. [trade: verb]
Example
International trade is a crucial aspect of the global economy. [trade: noun]
Good things to know
Which word is more common?
Trade is more commonly used than exchange in everyday language, especially in a business context. Exchange is less common but can be used in various contexts, including personal exchanges and non-material exchanges like ideas or information.
What’s the difference in the tone of formality between exchange and trade?
Both exchange and trade can be used in formal and informal contexts, but trade is often associated with a more formal tone due to its business connotations and legal implications.
