Can a standard user install applications?

I've been told that when a standard user installs applications, he must provide a admin user name and password, which presesumably he wouldn't have.  If the admin user is standing near and does provide that info, then great, a standard user is able to then install the application, right?
My real question: Would that application be available to all of the users on that mac or just to the standard user?  My research has lead me to contradictory answers and a fundamental, lingering question:  If the admin account's user name and password were provided when logged into the standard account, shouldn't that application behave the same as an app that was installed when logged into the admin acccount?  And, if that's true, isn't the purpose of a standard account somewhat less valuable than we think?  Any insight would be of much help, thanks!

To install an app on a standard user, you need an administrator user name and password. If not, it won't work.
When you install an app, it's installed by default in /Applications, a folder where all users can access, so your apps are available for all users. However, most of the users have got an Applications folder inside their user folder (~/Applications), so you can put here the apps you want to use only with one user account. You can choose where you want to put your applications, depending on with what users you want to use the application

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