With Cybersyn, the Allende administration hoped to solve the problems they created by intervening companies. Unfortunately, to replace a capable business owner with a politically loaded government interventor will punish the company productivity. No matter how good the intentions are (e.g: wealth distribution), political meritocracy does not translate into entrepreneurial competence.

Under Allende's administration, Chile economically became similar to what Venezuela is today, with ineffective resource distribution and widespread chaos. In part, the Chilean economy collapsed with the help of foreign sabotage driven by concerns about the growth of Soviet influence and local allies that later supported the 1973 coup, part of a series of Latin American coups now known as Operation Condor.

The military junta focused in reverting the policies that Allende impulsed, notably the confiscation of foreign owned mining assets. To achieve that, they abolished the congress, wrote a new constitution with specific provisions to protect investors from Communist-style confiscations.