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instead of can take only noun as object.
while rather than takes a clause, as than always starts a clause.

We can clearly notice that use of instead of is very limited while use of rather than is quiet robust.

also go through following link from magoosh, they have talk about this topic, in sort, over here.
https://magoosh.com/gmat/2013/gmat-idio ... 1514114233
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