Wiki Help/Wiki White Space
Using a line break within ordinary text will produce a separate paragraph. Using two or more line breaks achieves the same effect. For clarity you should leave a blank line between paragraphs when editing pages, but don't bother using more than one blank line, it will be ignored. Same goes for spaces, one is enough, more next to each other will be ignored.
You can use two backslashes (\\) at the end of a line to produce just a line break instead of a paragraph break.
Whitespace inside /WikiSourceCode is rendered exactly as is ie. all line breaks and spaces will show.
Things are a little different inside /WikiLists: using a line break there actually produces just one line break. Use two ie. leave a blank line between them to obtain separate paragraphs. See the lists' page for more details, including ways to make a list item span multiple lines.