If we develop some software in c# (or basically .Net), we don\'t install visual studio to any client. The client just have to have required .Net framework (1.0, 1.1, 2.0, 3.
There is no client runtime required for database access besides the .NET framework installed (which you need for all .NET executables anyway).
If you want the database to reside on the same machine as the client free options would be e.g. SQL Server Express or SQLite.