A diesel electric locomotive is more cunning, a large diesel engine/motor drives a large generator, which produces electric current to drive traction motors which drive the wheels via gears, usually of fixed ratio depending on the service speed of the locomotive. The control of the DE locomotive is via the electrical system, which controls the diesel engine, which supplies the required current to drive the traction motors under various physical loadings such as train tonnage, grades, weather, etc.
A straight electric locomotive uses power derived from external sources, such as overhead wire, third rail, or battery power sources, and the current drives traction motors in the manner of a DE.
The beauty of train simulators, as opposed to model railway systems, is you need knowledge of how things work in reality. So a fair question deserves a fair reply.
Use of the term "electric engine" is confusing in this context and I must confess that's the first time I've ever seen it used. The more usual terminology is "electric locomotive" for the locomotive and "electric motor" is another name for the traction motors (set in the bogies.)
The terms "steam locomotive" and "steam engine" are interchangeable descriptions depending where you live. However, to complicate matters, "steam engine" can also be applied to all 'stationary' steam engines. "Steam motor" is never used, or at least I've never seen, or heard, the term used.
Here endth the lesson.