Answer:
causes a parallel shift in the consumer's budget line
Explanation:
An increase in the real wage rate represents a pure income effect causes a parallel shift in the consumer's budget line.
An increase in income causes the consumer's budget line to shift outward, parallel to the original line (holding prices constant) while a decrease in income causes the budget line to shift inward, parallel to the original line (holding prices constant) because a consumer can buy less of goods and services with less income.
