Moodle's iframe when embedding LTI tools is small compared to the size of the embedded web page

Describe the bug
It looks like Moodle is constraining the Hypothesis iframe, giving it a hard limit on height. This is reproducible in Chrome, Firefox, and Safari. It also affects an assignment made with a different LTI tool, so it's likely not a Hypothesis-specific issue.

Note that launching in a new window does not have this issue.

To Reproduce
Steps to reproduce the behavior:
Hypothesis example -

1. Go to https://hypothesisuniversity.moodlecloud.com/mod/lti/view.php?id=283
2. Resize screen as needed
3. Note the iframe containing Hypothesis has a hard limit set on height that changes when resizing the window:
   <iframe id="contentframe" height="600px" width="100%" src="launch.php?id=283&amp;triggerview=0" allow="microphone ; camera ; geolocation ; midi ; encrypted-media ; autoplay " allowfullscreen="1" style="height: 292.688px;"></iframe>

Other LTI example:

1. Go to https://hypothesisuniversity.moodlecloud.com/mod/lti/view.php?id=327&forceview=1
2. Repeat test above

• OR -

1. Create a Hypothesis assignment in Moodle
2. Make sure that the assignment settings > General > Launch container is set to "Embed".
3. See error.

Expected behavior
Users would expect to see more of the embedded page available to them, or to have the Hypothesis iframe extend to the bottom of the visible page.

Screenshots
If applicable, add screenshots to help explain your problem.

Desktop (please complete the following information):

• OS: [e.g. iOS]
• Browser [e.g. chrome, safari]
• Version [e.g. 22]

Smartphone (please complete the following information):

• Mac OS Mojave 10.14
• Chrome 86

Additional context
It's worth noting that in the original Slack conversation I thought this was coming from an LMS user, but they were actually reporting an issue (that seems to do with how they zoom in) in a different LMS.

Reproduce the embedded Hypothesis and other LTI examples at the linked Moodle URLs, then inspect the reported contentframe height while resizing the browser. Compare the embedded view with the new-window behavior and determine whether an actionable change belongs in this repository or in Moodle; done means the responsible component and next change are identified.