Does anyone know if you can trade with other people?

You mean like trading with other real players?

I haven't heard anything along those lines, and I doubt that they would put something like that in the game.

Hmmm, that'd be cool. Like MMO style, but in co-op?

Do you me with NPCs? or Real people?
I'm sure you will be able to drop stuff for others to pick up in co-op.
As for NPCs, Peter M. confirmed that they took the merchant job out of Fable 2. Don't ask me why.

There has been some talk about trading items with friends that come to your game...... I dont know if Trade was the exact wording but they said you can give items to each other, so thats how I took it.  I suppose the question really is what kind of items can you give each other which also leads to more questions about how you attain items in Fable 2.  

Trade would really only make sense if there is a somewhat randomized item pool built into the game, otherwise people would not trade any items worth trading for a few reasons:  You can always keep playing being assured you can get them yourself,  or you wouldnt trade what you have for fear of never obtaining it again.  If anyone has heard information on how items work this time around i would appreciate it, I have not found anything yet.

"There has been some talk about trading items with friends that come to your game...... I dont know if Trade was the exact wording but they said you can give items to each other, so thats how I took it.  I suppose the question really is what kind of items can you give each other which also leads to more questions about how you attain items in Fable 2.  

Trade would really only make sense if there is a somewhat randomized item pool built into the game, otherwise people would not trade any items worth trading for a few reasons:  You can always keep playing being assured you can get them yourself,  or you wouldnt trade what you have for fear of never obtaining it again.  If anyone has heard information on how items work this time around i would appreciate it, I have not found anything yet."

as if anyone would really be willing to give them up anyway, considering what we can guess from Fable 1 item system.......... basically my point.   I think it will all be gifting in the nature of more novelty items.   I dont need a trade system in Fable.

Edit: and of course your more basic consumption based materials to help friends during coop.

If I can trade my kid for some gold...then I'll do it!

Unless Fable 2's massively expanded the amount of stuff WORTH trading, then I don't really think I'd want that. But I think Fable 2's going to be bigger, better, and more bad ass indeed.

Thanks, Cliff!