The equivalent widths of a number of emission lines in the spectra of
WN-type Wolf-Rayet stars are found to inversely correlate with the lum
inosity of the underlying continuum. This is the well-known Baldwin Ef
fect that has previously been observed in quasars and some Seyfert I g
alaxies. The Effect can be inferred from line and continuum prediction
s in published non-LTE model helium atmospheres and is explainable in
terms of differences in wind density among WN stars. Using a simple wi
nd model, we show that the Effect arises from the fact that both the e
ffective radius for the local continuum and the emission measure of th
e layers above the continuum-forming region depend on the density in t
he wind. The Effect provides a new method for distance determinations
of W-R stars.