adjective
A word that describes or modifies a noun or pronoun. In this case, 'not bad' is an adjective phrase that describes the quality of something as being satisfactory or decent.
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The performance of the stock market today was not bad considering the recent economic challenges.
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The movie we watched last night was not bad, I actually enjoyed it.
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The new restaurant in town is not bad, we should check it out sometime.
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His skills on the basketball court are not bad, he could definitely improve with more practice.