Air in the filter means that there is air in the filter, and it has nothing to do with fuel flow. The problem is probabally that the air cannot be displaced. If you could position the filter vertical, it wouldn't have air. Anything other than a veritcal positionl, there is a good chance that it will have air in it.
If it runs okay, everything is okay. If a properly running engine isn't a good enough verification, you can take Jim's test further down the line.
READ!!!!!!
DISABLE THE SPARK TO THE ENGINE before testing.
Remove the fuel line from the carburater. Crank the engine, and if it pumps a healty shot of fuel, everyting is okay.
READ!!!!!
DISABLE THE SPARK TO THE ENGINE BEFORE TESTING, AND MAKE SURE THAT YOU KEEP OVERFLOWING FUEL AND SPARK SOURCES FAR AWAY.
Smoking a butt while handeling gas isn't a problem because the ember on a smoke isn't hot enough to ignite gasoline, but even an ever so small static spark and a trace of gasoline is an instant explosion, so a disconnected coil and a little gas is a disaster waiting to happen. Let's not even discuss the volume of gas that will come out of the line if the engine starts to run.