ok xD

If I was a tourist, the would go in Chile to Santiago first of course, cause from there you can go wherever you want inside the country. Santiago is not that cheap, but you can buy cheap stuff in plenty artisan markets, specially downtown. If you wanna eat cheap in Santiago, and in CHile in general, go to a typical chilean food restorant, but be careful to go to a fancy-looking one or to a very..folk one; I guess that’s common-sense. Santiago is beautiful (though most people that live here don’t get that); if you get time go tour around downtown; Lastarria, Cerro Santa Lucia and the goverment’s buildings are gorgeous.
Anyways, the best thing about Chile, for me, is the south. You can start in Chillan, which is like 5 hours from Santiago (bus tickets can be really cheap, just look around in the terminals), and later to Pucon. Pucon is a tourist town, and can be expensive f you’re not careful, but it totally worth it! The city is in shores of a big lake and in the bottom of a volcano (if it’s season yet you can go skiing) and almost all houses are made of wood…I love it. Pucon is also the center of adventure and eco sports, and there are plenty of guides there; I have done some stuff there (canopy, paintball) and you can get cheap prices, but is also cool to go by yourself to explore the woods if you get the chance (I’ve done that too).
The north of Chile is great too. You can easily go to Peru first (Macchu Picchu, Arequipa are incredible!) and then hitch-hike to Chile. The Atacama desert is crazy! San Pedro de Atacama is AWESOME too, though is kind of expensive (at least for chileans, cause prices are made for tourists).
Uhm..I don’t know what else to say. Oh yeah, Buenos Aires is amazing too, and Argentina is cheaper than Chile =P
South America rocks, you’ll love it. I love to live here, btw. People are so kind, everywhere you go, and you can find help anywhere…is not really dangerous either, you have to be careful nevertheless, just as anywhere in the world :P. Food is awesome and cheap too.
I hope this helps you, have a great trip =D