Well, we can distinguish technical accuracy from vernacular. Technically, external female genitalia are "vulva" and the passage from the cervix to the exterior is the vagina. But in common parlance, people say "vagina" when what they are referring to is the overall genitalia. "Pussy" is just slang for vulva.
More to the point, though, who the hell cares? So long as how you use the term is intelligible in conversation, what the heck difference does it make?
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