I lived in a small city that charged outrageous rates for garbage pick-up and huge add-on fees for extra bags and cans. It was no surprise that many people (especially tenants) hoarded garbage in the yards or garages rather than be charged prices they could not afford to haul it away. The city had a terrible pest problem --- duh.
I don't see how cost could possibly have been a factor in the situation with my neighbor. To have garbage privately hauled in Lansing (as most families choose to do) is $42/quarter--about $13 a month. My neighbor was spending God only knows how much money on crack but she couldn't be bothered to spend $13 a month to have her trash taken care of. The cost of haulage may be exhorbitant in some communities; ours is not one of them.