This is a rather old question for which an answer has already been accepted, but to elaborate upon the provided answer and to address questions that have come up in the comments section, this additional answer is being provided.
As posed, the question is a bit indefinite. When asked whether something should be done a certain way with respect to software development, the question could be understood to be a question concerning the underlying design principles that govern the topic in question, when such design principles should be applied if not uniformly, or both. To aid in discussing the topic objectively, let's consider these two aspects in turn.
The particular practice of creating a constructor to map the values from one object to another creates a coupling between the two objects. A view model contains the properties and/or the behavior pertaining to a particular view within the system. Since the purpose of such an object is to model a particular view, encapsulating the mapping logic for initializing the internal state/values of the model from another type within the system means that the view model now contains code which may need to be modified for reasons other than changes to how the view is modeled. Such changes open up the possibility that other aspects of the model's behavior may be adversely affected, thus causing unintended regression in the behavior of the system. The principle governing the decoupling of components within the system to prevent unintended regression of behavior by coupling multiple concerns is called The Single Responsibility Principle.
The question of when such principles should be applied is a bit more difficult. It's important to keep in mind that software is typically written with some goal in mind (e.g. solving some business problems, facilitating entertainment or education, etc.) and what is best for any given piece of software is relative to the task at hand. The choices made for a software system that's being created to serve as the flagship product for a particular company may be quite different than the choices made for a system being developed to solve an immediate problem. The scope of work required in order to facilitate certain types of decoupling also need to be considered. Some decoupling techniques are relatively easy to incorporate while others may be more difficult and even come with step learning curves for the initial implementation as well as for each new developer added to the team responsible for the software's maintenance. While no heuristic is perfect for making such decisions, Test-Driven Development sets forth the heuristic of not introducing abstractions until duplication is present. For example, the strategy pattern is an excellent technique for adhering to the Open/Closed Principle, a principle governing the design of objects to allow for their application in different scenarios without needing to modify the existing code. When following Test-Driven Development practices, however, one wouldn't introduce the strategy pattern until a second use-case was observed. By following this heuristic, developers are forced to restrict their efforts to the task at hand by only writing the code necessary to accomplish the task without duplication, resulting in a minimization of waste and maximizing of maintainability (by means of minimizing complexity).
Nevertheless, software engineering is both a science and an art. It's a science in that there are rules which govern what can and can't be done to achieve certain ends, but it's also an art in that you get better at it the more you do it and there are definite trade-offs to be made which ultimately must be made subjectively. For example, as a client software developer, I am typically never involved in the design and development of applications which have a short lifespan. As such, I don't wait until I see duplication before introducing convention-based dependency injection into my applications. Introducing the consistent use of dependency injection within an application has a far lower cost at the beginning of a software system's life than it does waiting until you begin to feel the need for it.
With respect to the specific example of adding mapping code in view models, while it does couple the view model to a particular domain model, in practice I wouldn't find this to be that big of an issue. The view model isn't likely to be used with other domain models and the nature of the type of code being introduced (i.e. mapping) doesn't typically contain business logic, so the likelihood of this SRP violation causing significant regression in the system is far less than an SRP violation at the application or domain layers.
That said, I don't find the process of adding mapping logic within constructors to be any sort of significant time saver. If one were to create a separate class to encapsulate the mapping between the domain object and the view model in most languages, we're only talking about an extra few lines of code. Here's the difference in implementation:
// constructor
public ViewType(DomainType domainType) {
...
}
// mapper class
public class ViewTypeMapper {
public ViewType Map(DomainType domainType) {
...
}
}
So, you're either doing a return new ViewType(domainType), or you're doing a return new ViewTypeMapper().Map(domainType). I just don't see where decoupling in this case adds any significant work. In most cases, you've already wasted your company's or client's time and money by even having a discussion about it because you'll invariably end up talking about it for a longer period of time than if you were to just create separate classes to represent the mappings, or if you were to go ahead and just set up Automapper.