Gary - there are grey water recycling systems for areas where water use/availability is limited, or where a house is on septic and doesn't want to use too much. They are fairly expensive to set up though, especially when a house is on an urban sewer system and in comparison to that. I agree with phantastica - the best solution for now is to use as little as you can. If you've ever lived with a pump-out septic system you get good at conserving water since it costs you every time the "honey wagon" comes.
You can also get composting toilets - but they're expensive and lots of people don't want to go that far. Some use no water, some use very little.
aphil - we compost our vegetable waste and mix it with leaves/grass etc. I remember when we lived in England our compost pile would grow awesome potatoes from the peelings we put in it! If you want to use it on the garden try not to put in weeds - especially with seed heads. We mix it into the vegetable garden in the fall before the snow.
We recycle whatever we can, and now that we live only 40km from a large centre, what we can is much more than previously. I also try to avoid buying things in small single use containers. My kids take yoghurt and applesauce to school in small reusable tubs (taken from larger ones), similarly they have reusable juice/water bottles for their lunches. We do buy bottled water since we can't drink the municipal water here (tastes too salty) but we buy the RO treated water in 5-gal bottles, not small bottles, and reuse the bottles.
BTW - I remember living in Yellowknife and the dump there was awesome. Lots of scavenging, lots of reuse areas. My kids potty came from the dump. Many things didn't stay there for long - sometimes people would come and check out your truck if you arrived with stuff. On the flip side, they baled and buried "recylables" since there was no market for shipping them south for reprocessing. They were kept separate but I doubt they will ever be dug up and truly recycled.
It seemed almost dishonest to have the bins for them but then to bury the stuff anyhow.
Interesting stuff,
Jax