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China US Cyber War- prevent?

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With the evidence of their activities mounting, Chinese hackers went silent for three months, but, they now seem to have resumed their attacks. A report last week by the Commission on the Theft of American Intellectual Property, a private group led by two former Obama administration officials — Dennis Blair, who was the director of intelligence, and Jon Huntsman Jr., an ambassador to China — said that hacking costs the American economy more than $300 billion a year and that China was responsible for 70 percent of the theft of corporate intellectual property and trade secrets.

What is the proper response to this? Diplomacy? Hacker counter attacks?

Could this be a solution? Or too weak, like the U.N.?

The EastWest Institute, an independent research group, is working with representatives of many governments, including China and the United States, to develop ground rules for protecting the digital infrastructure. The group’s detailed proposal on fighting spam — which carries malware used by hackers — is worth considering by President Obama and President Xi.

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