adjective, dinkier, dinkiest.
Informal. small, unimportant, unimpressive, or shabby: We stayed in a dinky old hotel.
British Informal. fashionable; well dressed; smart.
noun, plural dinkies.

1780–90; compare Scots dink neatly dressed, trim (of obscure origin); sense shift perhaps: trim > dainty > small > insignificant; see -y1

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World English Dictionary
dinky (ˈdɪŋkɪ)
adj , dinkier, dinkiest
1.  (Brit) small and neat; dainty
2.  (US) inconsequential; insignificant
[C18 (in the sense: dainty): from dink]

Collins English Dictionary - Complete & Unabridged 10th Edition
2009 © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins
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Word Origin & History

1788 "neat, trim, dainty, small," from Scot. dialect dink "finely dressed, trim" (1508), of unknown origin. Modern sense is 1850s.
Online Etymology Dictionary, © 2010 Douglas Harper
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Example sentences
Dinky little velvet-covered buttons are not for you.
It may seem crazy, but it was running a dinky club that set me on the path to seeing myself as someone who could run a business.
But its dinky little shell is inside the big, slippery body, so a sea hare can't pull back into its shell for protection.
These are not your dinky, wrapped in plastic, grocery story caramel apples.
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