Despite their common historical roots, two higher education systems in Latin America differ dramatically in their financing mechanisms. In Argentina, the national government completely subsidizes undergraduate programs in public institutions, while Chile relies mostly on tuition fees charged to individuals attending public institutions. Through quantitative and qualitative secondary sources, this paper shows that class interests (structural approach) and economic policies (ideational approach) played a major role in explaining comparative policy outcomes in these nondemocratic regimes. The article makes an explicit contribution to the understanding of comparative policy choices in nondemocratic regimes.