Preheat oven to 350~. Pour oil into large bowl. Beat in powdered sugar until creamy, about 5 minutes. Beat in milk, baking powder, and soda. Gradually beat in flour until dough pulls away from side of bowl. Turn out onto a floured surface. Knead 5 minutes until dough is soft and pliable. Pinch off 1-1/2" pieces; mold into oval finger-like shapes. Bake on ungreased baking sheets 20-30 minutes or until golden underneath. Cookies will not brown on top. Cool on baking sheets. Mix honey and water in small pan. Bring to a boil, remove from heat. Dip each cookie in honey. Place on waxed paper. Sprinkle with nuts. ----