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When it comes to using fictional terminology for concepts with real-life equivalents, the best usage is for flavour; to establish what kind of culture the setting is. A good way to do it is to make...
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#3: Attribution notice added
Source: https://writers.stackexchange.com/a/40642 License name: CC BY-SA 3.0 License URL: https://creativecommons.org/licenses/by-sa/3.0/
#2: Initial revision
When it comes to using fictional terminology for concepts with real-life equivalents, the best usage is for flavour; to establish what kind of culture the setting is. A good way to do it is to make your 'smeerp' word something that is relatively self-explanatory, so you're not doing the xkcd example of stopping to explain each new word. If a new word is instead set alongside an explanatory context or is simply obvious from its construction. For example, in my universe, medicine is a thing, but it's just barely got to germ theory. As such, doctors perform autopsies on corpses and make observations, but they're hardly described in the precise terms modern doctors would use. Liver Cirrhosis is Drinker's Liver, Cancer is Tumours, Gangrene is Corruption, an Epidemic is a Plague. These terms are still familiar and self-explanatory, but just that extra edge of foreign/fantastical that establishes that yes, this is a different culture, but you don't need to stop and explain everything.