Heat oven to 350°F. Knead flour into dough in bowl. Roll dough out 1/4 inch thick. Using assorted rabbit cutters, cut out shapes. Transfer to ungreased baking sheets. Gather scraps; repeat.
Bake at 350°F for 9 minutes or until edges are golden; do not overbake. Cool completely on rack.
Meanwhile, beat meringue powder, sugar and water in bowl until soft peaks form, about 10 minutes. Divide icing in half. Thin half with water, a drop at a time, until its the consistency of honey; tint with icing colors as desired and use to coat cookies. Let dry. Tint remaining thicker icing with icing colors as desired. Place in pastry bag fitted with writing tip and pipe out outlines and details to decorate.
Cookie Cutter: Copper Gifts, 620-421-0654 or www.coppergifts.com. Gel icing colors: Wilton, 800-794-5866 or www.wilton.com.