Alcohol is not bad for skin. Certain desirable ingredient in skin care product must be bonded to alcohol in order to be contained in the product's formulation. Not all alcohol in cosmetic product is isopropyl or rubbing alcohol, which have effect a cooling, drying sensation to the skin. Alcohol from biochemical points means that there is a molecular compound with an OH at the end of it. Its almost same with the definitions of alkaline. What's at the other end of the compound could completely alter it's behavior in the product. Benzyl, ethyl, acetyl or oleyl are called fatty alcohol, which act as emollient. These decrease water loss from the skin and soften it.
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