I am unable to run app from android studio to my samsumg phone running android 2.3.6. I am getting Application installation Failed popup refer below screenshot.
It seems like your emulator low on disk space. But after you increase your disk space you still get error.
I faced the same problem, increase disk space and do factory reset for the emulator worked as well for me. To reset your emulator go to Settings -> Backup and Restore inside the emulator then reset.