The deal only serves the US economic interests and nothing else - it neither serves the interest of India or Pakistan. Instead of giving F16s to pakistan & 'offerring' F18s to India, the same 'geo-political' balance could be acieved by giving nothing to both India & Pak - but that would not help uncle Sam
The most cost-effective response from India would be to a) Refuse the deal unless the F18s are purchansed through a 100-yr 0.5% loan given by US
b) Do a pokhran - III. Infact India should always test a nuclear bomb when US 'announces' such deals - consistency is important while sending a menacing the right message