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The affect of a PR increase on your ranking, say one Toolbar notch for argument's sake, is unlikely to be dramatic. However, more PageRank can help a large site to be deep-crawled (especially if it has dynamic-looking URLs), and if the extra PageRank is due to extra links from other sites then you may get a significant anchor text boost.
If you have a fairly large site with a lot of bottom level pages, each with little competition, then a PR boost into your site can help with those bottom level 'money pages [searchengineworld.com]'.
Will Increased PR Lead to Increased Traffic?
There are areas where I'd say yes, definetly. But in most areas it's almost useless these days. About 1,5 years ago you could rule almost every keyphrase with just 1 PR 9 link. But I'd say good content is a better solution for good rankings on a long term basis.