We are talking about two different things.
When it gets really cold, it is recommended that you keep some water flowing in all pipes inside your house. To prevent a frozen pipe in the basement or other poorly heated area near an outside wall.
What we were originally talking about it an outside spigot, for attaching a hose. Part of preparing for winter is emptying the hose and putting it away. And then shutting off the outside spigot from the valve inside the house that is put there just for this reason.
You then drain what water is left in the pipe from the inside valve to the outside spigot.
We don’t do that here, but it doesn’t get nearly as cold here-so a difference in weather is what we are talking about-our outside faucets stay on all winter around here-in fact, it is recommended that you give cold-tolerant plants some water in dry periods on warmer days in winter.
We don’t have a valve to shut off outside water. It shuts off all water, inside and out, in case of a leak.