Distillation is an effective way of separating alcohol and water because it exploits the difference in their boiling points. Alcohol (ethanol) has a lower boiling point (about 78.37°C) compared to water (100°C). When the mixture is heated, the alcohol vaporizes first due to its lower boiling point and can be collected as a vapor, which is then condensed back into liquid form separately from the water. This process works because the vapor above the boiling mixture is richer in alcohol than in water, allowing for effective separation by evaporation and condensation without adding other substances. This method is physical, relying on phase changes and vapor pressure differences, making it a clean and efficient separation technique.