"It is all over except returning to class," said Communications Minister, Ricardo Lagos Weber.
While the government has offered extra school funding it says it cannot agree to one key demand, free bus passes for all students.
Political leaders from left to right agreed to amend the Constitution of a provision dating back to the 1973-1990 dictatorship of Augusto Pinochet.
"I just hope we have the backing of Parliament," said President Michelle Bachelet, who is hoping to end her first major crisis since coming to power in March.
Students took to the streets, following a similar strike last Tuesday, demanding free transit passes, free entrance exams and better education in public schools, which have fallen behind private education.
Students struck at a time when prices for Chile's copper are high, and the government is flush with cash to spend on education.
Protest leaders said that more than a million students, joined by teachers, professors, unions and other adults, staged strikes in major cities and blocked traffic on Santiago's main thoroughfare, La Alameda, prompting police to react with water cannon and tear gas.
Students also occupied about 100 schools around the country of 16 million.
According to authorities, most of those injured were police.
A similar strike a week ago led to more than 700 arrests and clashes in which dozens of people were injured.
Chile's conference of bishops also weighed in on the side of the students, urging an elimination of what they described as a "the scandalous social gap that detracts from our ability to live together."
Public schools have been in crisis since former dictator Augusto Pinochet, in one of his last acts as dictator, handed control of schools over to cash-strapped municipalities, a move which saw the gap between state and private schools grow
progressively worse.