I don't think anybody on either side seriously wants this to escalate into something bigger even if the establishment hawks on both sides will use public sentiment to their own political advantages.
but it sure looks like a clear case of Pakistani aggression to divert their public from all the political instability and rake up the Kashmir issue again, nothing works as good as screaming "core issue, core issue !!" ..idiots
Pakistan are no match for India militarily, and we have a new government that's finally unshackled the military, will only end badly for them.