http://www.yorkietalk.com/forums/die...lems-dogs.html 
Since your little one also has the itchies, I would do a skin scrape w/cytology 1st to rule out any medical issues. The vet takes a skin sample by gently scraping it w/a scalpel or cotton tipped applicator & looks under the microscope to determine if it's bacterial, fungal, parasitic, etc. According to what's found, there might be some medications or RX shampoos &/or wipes prescribed.
If it's just dry skin, a good coconut based shampoo will do wonders like ColesMommy01 mentioned. Espree is great, I recommend using a conditioner also w/every bath. Also what gracielove said, a good fish oil w/omega 3 is wonderful for the skin & hair.