Assembly members have voted not to seek the power to vary taxes set by the British exchequer in London.
A motion seeking such powers was proposed by Sinn Féin and received some qualified support from the SDLP and Alliance party.
But it was vociferously opposed by unionists.
Sinn Féin's Jennifer McCann proposed the measure claiming: "These fiscal freedoms can unlock our potential to set our own funding priorities. They would also be an essential component developing a radical plan of action to tackle deprivation and ensure long-term economic development."
SDLP member Declan O'Loan pointed to the potential of the island as a whole.
"Sharing this island, as we do, with such a successful economy and distinct tax regime, clearly adds urgency and import to our consideration of all issues affecting our competitiveness as a region," he said.
"In recognition of such challenges, this party has been calling for greater fiscal discretion for the Assembly for several years."
However the DUP's Simon Hamilton said: "It is no surprise that a tax-and-spend left-wing party such as Sinn Féin should be tabling a motion such as this before the Northern Ireland Assembly.
"Their Marxist ideology is an indicator of what their intentions are although their politics oftentimes bears more resemblance to Groucho Marx rather than Karl.
"What they are asking for is to empower the Assembly to pilfer even more of people's hard-earned income."
He was supported by the Ulster Unionists' Basil McCrea and by Finance Mminister Peter Robinson.
Assembly members also debated the economic development of western counties and heard a detailed report from Agriculture Minister Michelle Gildernew on the measures taken to prevent the spread of Foot and Mouth Disease from Britain following the recent scare there.
Discussing a report The cost of Division - A Shared Future Strategy, published recently by the Office of the First and Deputy First Minister which addressed policing needs, Dr Paisley said: "The reality is that the police need money and they need it to do successful police work and it would be wrong for any member of this house to suggest that we slice the police budget."
Responding to a question from the SDLP's Alban Maginness, he said: "We don't want barriers built across various parts of our city and land, but I must tell him that divisions must be dealt with in order that we can take down these particular barriers."