The people of the State in question decide..
We decide issues about garbage disposal, people building nuclear bombs in their garage, zoning, liquor stores, prostitution.. etc..
The people of the state, individually can infringe upon the rights of others? If not, how do they confer this power upon the state?
Your insistence upon the use of "respectively" is specious since all governmental power flows from the people. The feds have no powers that weren't first posessed by the people nor do the States.
People do not have the choice to opt out of a city's garbage collection program. Garbage collection and disposal should be completely privatized. People should arrange to have their garbage colleced and disposed of on their own with a reclamation company of their chosing.
...people building nuclear bombs in their garage...
Possessing a weapon is not a threat. Pointing it at someone is. The threat is not the device itself but the act of pointing it at somebody. The same rule applies to explosives. The device itself is not the threat. The threat stems from the act of pointing it at someone (bringing it to within range of another). Because explosives are indiscriminate, anyone in the blast radius is essentially having a weapon pointed at them. Unless they have consented to this condition, they could make a legitimate argument that a weapon is being pointed at them and would thus be morally justified in the application of force to defend themselves.
zoning
Zoning laws have caused shortages in housing and have driven up the cost of homes. There's more demand and too little a supply. Zoning has also been used to shut-out competition in local marketplaces.
liquor stores, prostitution...
Consumer demand drives these things. Discourage their use. Don't restrict it through government.