Not always the case. You can always correct for a heavier engine by reducing the amount of armor or crew you carry, but there's no way to correct for reduced horsepower.
Anyways, the general rule is, either the engine with the most Shaft Horsepower, or the next-smallest one if it has a higher overheat ratio. If you have really good Engys though, always go for the one with the most SHP.
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