You're right, but whether the dictator was necessary is disputable. Maybe all you need is Chicago economists. Nowadays Chile is ruled by the people who were tortured or at least jailed under the old regime (Ricardo Lagos, Michelle Bachelet) and all of Pinochet's children are in jail because of corruption. [1] Right now, it's very democratic, and not all that corrupt. Apparently, one of the best ways to return to democracy is for the tortured to forgive the torturers and rule the country henceforth. This also happened in the Seychelles.

[1] http://en.wikipedia.org/wiki/Luc%C3%ADa_Hiriart