adb install [-l] [-r] [-s] - push this package file to the device and i nstall it ('-l' means forward-lock the app) ('-r' means reinstall the app, keeping its data ) ('-s' means install on SD card instead of inter nal storage)
how to use the last option that is install apk on sdcard
You can only use this command if you have a device running froyo (Android 2.2) if you are using the 1.6 G1 you are mentioning in your other posts installing the app on the sd card is not possible.
Yes, As mentioned by Januz, The option to move or install an application on SD card is only present (and hopefully will continue) in the Android 2.2 OS currently. So for installing the apk from sd-card the only other option you have is to download the apk installation app from Android Market (its free as far as i know) named "App Installer" and use it to install the package onto your device.
Hope this helps!
I don't know if it'll allow you to pick and choose which applications it'll let you install to your sdcard but apps2sd will let you move all of your apps to the card.
There are however some caveats:
You need a rooted phone
You may need a recovery Rom installed (I'm not sure).
Your best bet is to install a custom rom which comes with apps2sd built in such as VillainROM or Cyanogen.
Then you'll need to partition your sdcard to include an ext2 partition which won't be visible and follow whatever other instructions are necessary to complete the transfer.
You won't be able to unmount the card whilst the phone is on, if the card is less than a Class 4 device you'll also have various other problems.
HTH even if it's not exactly what you wanted.