Told my doctor I itched all over - itchy eyelids, head, ear lobes, and back. He said probable cause was DRY skin as we age.

Now EYELID is irritated from rubbing. EYELID was dry, getting scaly. Applied warm washcloth, vaseline to soften , now eyelid is oozing, getting puffy and still very itchy.

How can I clear up this condition.

You need to see your eye doctor. It sounds like you have an infection. Your OD may prescribe ointment, lids scrubs, or drops. I wouldn't wait any longer. The condition usually doesn't clear up on it's own.