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Well, the water content of the vodka is more than half already at 40% ABV, so all water soluble compounds will be extracted via the vodka solution. I definitely see it being a good way to not burn off alcohol, because if you did that, then you would be volatilizing the aromatics - essential oils - which provide medicinal benefit. Is the honey added to sweeten it?

Yes so it's a liquer that can be drunk neat. It makes it more palatable a.d syrupy.

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