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At one time, a .38 caliber (such as the .38 S&W or the .38 Long Colt) actually had a bullet that measured right around .380 in diameter.
The bullets were known as "heeled" in that they looked not unlike a mushroom. The main part of the bullet was the same diameter as the outside of the case (the .38 part in the early .38s), while the "heel" was a reduced diameter section that was set into the mouth of the case. The heel was .357 or so in diameter.
Around the turn of the century ammo makers decided that it would be a lot easier just to make bullets a uniform diameter, so they reduced the bullet diameter to that of the heel diameter, and voila, the .357 dia. bullet was born.
The .22 Long Rifle still uses a heeled bullet.
The term parabellum is part of a Latin phrase. Para means for, while bellum means war.
The phrase is, IIRC, si vis pacem, para bellum, which translates to "If you want peace, prepare for war."
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