Not exactly answering OP's questions but worth it since this is the well-ranked post on Google to wrap text for dropdowns. Anyone looking for a quick solution that just makes thing look nice and the dropdown not appearing out of order, can just add a width (as mentioned in this SO Answer):
This fixes the width of the (or whatever element being used for the dropdown)
(Please note that the items in the dropdown will still not wrap but the whole thing looks more orderly since the dropdown is not going out of order. Also, the width may need to be adjusted accordingly for mobile screens)