Preheat the oven to 350 degrees F. Line cookie sheets with parchment paper and set aside. Mix the flour, apple pie spice, salt, and baking powder in a bowl and set aside. Then cream the softened butter and sugars together in an electric mixer until light and fluffy, about 3-5 minutes.
Scrape the bowl of the mixer, then turn on low as you add the eggs and Musselman's Apple Butter to combine. Slowly add the flour mixture to the mixing bowl. Then scrape the bowl again and turn on low as you add the oats, apples and caramel bits.
Use a 2-tablespoon scoop to drop the cookie dough onto the baking sheets 2 inches apart. Move some of the apple chunks to the tops if desired. Then bake for 15-18 minutes until golden around the edges. Cool on the cookies sheets before moving. Dust with powdered sugar to garnish.