See an eye doctor. Dry eyes are caused by decreased production of water, oil or mucus by the tear glands. The irritated eye sends feedback to the tears glands to create more tears, and blinks more frequently in order to push more tears onto the eye surface. If you are this dry you should have an eye doctor evaluate you for the cause of your condition, as well as to start a treatment regimen that can greatly help you.
Dry eye. Although potentially very annoying dry eye is not something that we would consider "bad" or vision threatening. That being said there a lot of things that can be done to help with dry eye. Lubricating drops and warm compresses are a good place to start. If your eyes are still bothering you see your ophthalmologist.
Could be. Depending on your age and health, you could have a significant problem. Dry eyes could be from simple causes but there are major health issues associated with dry eyes. Simple wetting agents (saline eye drops) can help. Increasing moisture in the room (humidifiers) can help. Wearing protective equipment when out doors can help. If you are concerned, see an eye care professional.